Systems and Methods to Optimize Media Presentations using a Camera

ABSTRACT

In one aspect, a computing apparatus is configured to: capture first images of customers who have watched a digital sign, using a digital camera attached to the digital sign positioned in vicinity of a retail location; identify characteristics of the customers based on the first images; identify, using the characteristics, a subset of customers who have made payment transactions at the retail location through a transaction handler; determine an aggregated spending profile based on transactions of the subset of customers recorded by the transaction handler; and arrange content on the digital sign based on the aggregated spending profile. The computing apparatus may be further configured to capture second images of the customers who have made payment transactions at the retail location through the transaction handler, using a digital camera attached to a point of sale (POS) station at the retail location, and to correlate the first and second images to identify the subset.

RELATED APPLICATIONS

The present application claims priority to Prov. U.S. Pat. App. Ser. No.61/370,079, filed Aug. 2, 2010 and entitled “Systems and Methods toOptimize Media Presentations using a Camera,” the disclosure of whichapplication is hereby incorporated herein by reference.

FIELD OF THE TECHNOLOGY

At least some embodiments of the present disclosure relate to theprocessing of transaction data, such as records of payments made viacredit cards, debit cards, prepaid cards, etc., and/or providinginformation based on the processing of the transaction data.

BACKGROUND

Millions of transactions occur daily through the use of payment cards,such as credit cards, debit cards, prepaid cards, etc. Correspondingrecords of the transactions are recorded in databases for settlement andfinancial recordkeeping (e.g., to meet the requirements of governmentregulations). Such data can be mined and analyzed for trends,statistics, and other analyses. Sometimes such data are mined forspecific advertising goals, such as to provide targeted offers toaccount holders, as described in PCT Pub. No. WO 2008/067543 A2,published on Jun. 5, 2008 and entitled “Techniques for Targeted Offers.”

U.S. Pat. App. Pub. No. 2009/0216579, published on Aug. 27, 2009 andentitled “Tracking Online Advertising using Payment Services,” disclosesa system in which a payment service identifies the activity of a userusing a payment card as corresponding with an offer associated with anonline advertisement presented to the user.

U.S. Pat. No. 6,298,330, issued on Oct. 2, 2001 and entitled“Communicating with a Computer Based on the Offline Purchase History ofa Particular Consumer,” discloses a system in which a targetedadvertisement is delivered to a computer in response to receiving anidentifier, such as cookie, corresponding to the computer.

U.S. Pat. No. 7,035,855, issued on Apr. 25, 2006 and entitled “Processand System for Integrating Information from Disparate Databases forPurposes of Predicting Consumer Behavior,” discloses a system in whichconsumer transactional information is used for predicting consumerbehavior.

U.S. Pat. No. 6,505,168, issued on Jan. 7, 2003 and entitled “System andMethod for Gathering and Standardizing Customer Purchase Information forTarget Marketing,” discloses a system in which categories andsub-categories are used to organize purchasing information by creditcards, debit cards, checks and the like. The customer purchaseinformation is used to generate customer preference information formaking targeted offers.

U.S. Pat. No. 7,444,658, issued on Oct. 28, 2008 and entitled “Methodand System to Perform Content Targeting,” discloses a system in whichadvertisements are selected to be sent to users based on a userclassification performed using credit card purchasing data.

U.S. Pat. App. Pub. No. 2005/0055275, published on Mar. 10, 2005 andentitled “System and Method for Analyzing Marketing Efforts,” disclosesa system that evaluates the cause and effect of advertising andmarketing programs using card transaction data.

U.S. Pat. App. Pub. No. 2008/0217397, published on Sep. 11, 2008 andentitled “Real-Time Awards Determinations,” discloses a system forfacilitating transactions with real-time awards determinations for acardholder, in which the award may be provided to the cardholder as acredit on the cardholder's statement.

The disclosures of the above discussed patent documents are herebyincorporated herein by reference.

BRIEF DESCRIPTION OF THE DRAWINGS

The embodiments are illustrated by way of example and not limitation inthe figures of the accompanying drawings in which like referencesindicate similar elements.

FIG. 1 illustrates a system to provide services based on transactiondata according to one embodiment.

FIG. 2 illustrates the generation of an aggregated spending profileaccording to one embodiment.

FIG. 3 shows a method to generate an aggregated spending profileaccording to one embodiment.

FIG. 4 shows a system to provide information based on transaction dataaccording to one embodiment.

FIG. 5 illustrates a transaction terminal according to one embodiment.

FIG. 6 illustrates an account identifying device according to oneembodiment.

FIG. 7 illustrates a data processing system according to one embodiment.

FIG. 8 shows the structure of account data for providing loyaltyprograms according to one embodiment.

FIG. 9 shows a system to provide a spending profile to optimize mediapresentations according to one embodiment.

FIG. 10 shows a method to customize media presentations according to oneembodiment.

FIG. 11 shows a system to use a camera to improve media presentationaccording to one embodiment.

FIG. 12 shows a system to use a camera to improve advertisementpresentation according to one embodiment.

FIG. 13 shows a method to use a camera to arrange content presentationaccording to one embodiment.

FIG. 14 shows a method to generate an aggregated spending profileaccording to one embodiment.

FIG. 15 shows a method to determine characteristics of a group ofpersons according to one embodiment.

FIG. 16 shows a method to associate media consumption activities withpayment transactions according to one embodiment.

DETAILED DESCRIPTION Introduction

In one embodiment, transaction data, such as records of transactionsmade via credit accounts, debit accounts, prepaid accounts, bankaccounts, stored value accounts and the like, is processed to provideinformation for various services, such as reporting, benchmarking,advertising, content or offer selection, customization, personalization,prioritization, etc.

In one embodiment, an advertising network is provided based on atransaction handler to present personalized or targetedadvertisements/offers on behalf of advertisers. A computing apparatusof, or associated with, the transaction handler uses the transactiondata and/or other data, such as account data, merchant data, searchdata, social networking data, web data, etc., to develop intelligenceinformation about individual customers, or certain types or groups ofcustomers. The intelligence information can be used to select, identify,generate, adjust, prioritize, and/or personalize advertisements/offersto the customers. In one embodiment, the transaction handler is furtherautomated to process the advertisement fees charged to the advertisers,using the accounts of the advertisers, in response to the advertisingactivities.

In one embodiment, the computing apparatus is configured to providespending intelligence regarding customers identified at least in partvia a camera. For example, in one embodiment, a digital sign has acamera configured to capture the facial images of customers who havewatched the content presented on the digital sign. The digital sign isarranged to be located at or near a retail location; and paymenttransactions at the retail location are identified and used to determinethe accounts with which the payment transactions are made. In oneembodiment, the images captured using the camera are further used tofilter or weight the transactions to reflect the spending patterns ofthe customers who have watched the content presented on the digitalsign. In one embodiment, the operations of filtering or weighting thetransactions are performed via matching the characteristics of thecustomers as captured in the facial images and the account data of therespective accounts with which the payment transactions are made. Forexample, in one embodiment, the characteristics of the customers (e.g.,gender, age) are identified using the images captured by the camera; andthe transaction data for the retail location is modified (e.g., filteredor weighted) to generate an aggregated spending profile of the customerswho have watched the digital sign. The spending profile can be used toselect media content and/or advertisements for the digital sign. Inanother example, a separate camera at the point of sale (POS) station isconfigured to capture the facial images of the customers who makepayments at the POS station; and the faces captured by the camera of thedigital sign are correlated with the faces captured by the camera of thePOS station to determine the identity of a set of customers who havewatched the content presented on the digital sign and made payments atthe POS station. Thus, the transaction data of the set of customers areselected to provide spending intelligence to optimize the mediapresentation on the digital sign. Details in one embodiment regardingthe use of one or more cameras in the generation of spendingintelligence are provided in the section entitled “CAMERA.”

In one embodiment, the computing apparatus is to profile the spendingdistribution of users who have made purchases from a merchant and whohave paid for the purchases via the transaction handler using accounts,such as credit card accounts, debit card accounts, prepaid cardaccounts, etc. The spending distribution is determined based ontransaction data of the accounts, where the transaction data records thetransactions made using accounts for purchases from various merchants.The spending distribution is profiled to indicate the preference of thecustomers of the merchant as a whole and thus can be used to customizethe ratio of media contents provided to the customers of the merchant,such as the presentation ratio of advertisements from differentmerchants, or from merchants of different categories. Details in oneembodiment regarding the generation of such a spending profile and theoptimization of media presentations based on the profile are provided inthe section entitled “MEDIA OPTIMIZATION.”

In one embodiment, the computing apparatus correlates transactions withactivities that occurred outside the context of the transaction, such asonline advertisements presented to the customers that at least in partcause the offline transactions. The correlation data can be used todemonstrate the success of the advertisements, and/or to improveintelligence information about how individual customers and/or varioustypes or groups of customers respond to the advertisements.

In one embodiment, the computing apparatus correlates, or providesinformation to facilitate the correlation of, transactions with onlineactivities of the customers, such as searching, web browsing, socialnetworking and consuming advertisements, with other activities, such aswatching television programs, and/or with events, such as meetings,announcements, natural disasters, accidents, news announcements, etc.

In one embodiment, the correlation results are used in predictive modelsto predict transactions and/or spending patterns based on activities orevents, to predict activities or events based on transactions orspending patterns, to provide alerts or reports, etc.

In one embodiment, a single entity operating the transaction handlerperforms various operations in the services provided based on thetransaction data. For example, in the presentation of the personalizedor targeted advertisements, the single entity may perform the operationssuch as generating the intelligence information, selecting relevantintelligence information for a given audience, selecting, identifying,adjusting, prioritizing, personalizing and/or generating advertisementsbased on selected relevant intelligence information, and facilitatingthe delivery of personalized or targeted advertisements, etc.Alternatively, the entity operating the transaction handler cooperateswith one or more other entities by providing information to theseentities to allow these entities to perform at least some of theoperations for presentation of the personalized or targetedadvertisements.

System

FIG. 1 illustrates a system to provide services based on transactiondata according to one embodiment. In FIG. 1, the system includes atransaction terminal (105) to initiate financial transactions for a user(101), a transaction handler (103) to generate transaction data (109)from processing the financial transactions of the user (101) (and thefinancial transactions of other users), a profile generator (121) togenerate transaction profiles (127) based on the transaction data (109)to provide information/intelligence about user preferences and spendingpatterns, a point of interaction (107) to provide information and/oroffers to the user (101), a user tracker (113) to generate user data(125) to identify the user (101) using the point of interaction (107), aprofile selector (129) to select a profile (131) specific to the user(101) identified by the user data (125), and an advertisement selector(133) to select, identify, generate, adjust, prioritize and/orpersonalize advertisements for presentation to the user (101) on thepoint of interaction (107) via a media controller (115).

In one embodiment, the system further includes a correlator (117) tocorrelate user specific advertisement data (119) with transactionsresulting from the user specific advertisement data (119). Thecorrelation results (123) can be used by the profile generator (121) toimprove the transaction profiles (127).

In one embodiment, the transaction profiles (127) are generated from thetransaction data (109) in a way as illustrated in FIGS. 2 and 3. Forexample, in FIG. 3, an aggregated spending profile (341) is generatedvia the factor analysis (327) and cluster analysis (329) to summarize(335) the spending patterns/behaviors reflected in the transactionrecords (301).

In one embodiment, a data warehouse (149) as illustrated in FIG. 4 iscoupled with the transaction handler (103) to store the transaction data(109) and other data, such as account data (111), transaction profiles(127) and correlation results (123). In FIG. 4, a portal (143) iscoupled with the data warehouse (149) to provide data or informationderived from the transaction data (109), in response to a query requestfrom a third party or as an alert or notification message.

In FIG. 4, the transaction handler (103) is coupled between an issuerprocessor (145) in control of a consumer account (146) and an acquirerprocessor (147) in control of a merchant account (148). An accountidentification device (141) is configured to carry the accountinformation (142) that identifies the consumer account (146) with theissuer processor (145) and provide the account information (142) to thetransaction terminal (105) of a merchant to initiate a transactionbetween the user (101) and the merchant.

FIGS. 5 and 6 illustrate examples of transaction terminals (105) andaccount identification devices (141). FIG. 7 illustrates the structureof a data processing system that can be used to implement, with more orfewer elements, at least some of the components in the system, such asthe point of interaction (107), the transaction handler (103), theportal (143), the data warehouse, the account identification device(141), the transaction terminal (105), the user tracker (113), theprofile generator (121), the profile selector (129), the advertisementselector (133), the media controller (115), etc. Some embodiments usemore or fewer components than those illustrated in FIGS. 1 and 4-7, asfurther discussed in the section entitled “VARIATIONS.”

In one embodiment, the transaction data (109) relates to financialtransactions processed by the transaction handler (103); and the accountdata (111) relates to information about the account holders involved inthe transactions. Further data, such as merchant data that relates tothe location, business, products and/or services of the merchants thatreceive payments from account holders for their purchases, can be usedin the generation of the transaction profiles (e.g., 127, 341).

In one embodiment, the financial transactions are made via an accountidentification device (141), such as financial transaction cards (e.g.,credit cards, debit cards, banking cards, etc.); the financialtransaction cards may be embodied in various devices, such as plasticcards, chips, radio frequency identification (RFID) devices, mobilephones, personal digital assistants (PDAs), etc.; and the financialtransaction cards may be represented by account identifiers (e.g.,account numbers or aliases). In one embodiment, the financialtransactions are made via directly using the account information (142),without physically presenting the account identification device (141).

Further features, modifications and details are provided in varioussections of this description.

Centralized Data Warehouse

In one embodiment, the transaction handler (103) maintains a centralizeddata warehouse (149) organized around the transaction data (109). Forexample, the centralized data warehouse (149) may include, and/orsupport the determination of, spend band distribution, transaction countand amount, merchant categories, merchant by state, cardholdersegmentation by velocity scores, and spending within merchant target,competitive set and cross-section.

In one embodiment, the centralized data warehouse (149) providescentralized management but allows decentralized execution. For example,a third party strategic marketing analyst, statistician, marketer,promoter, business leader, etc., may access the centralized datawarehouse (149) to analyze customer and shopper data, to providefollow-up analyses of customer contributions, to develop propensitymodels for increased conversion of marketing campaigns, to developsegmentation models for marketing, etc. The centralized data warehouse(149) can be used to manage advertisement campaigns and analyze responseprofitability.

In one embodiment, the centralized data warehouse (149) includesmerchant data (e.g., data about sellers), customer/business data (e.g.,data about buyers), and transaction records (301) between sellers andbuyers over time. The centralized data warehouse (149) can be used tosupport corporate sales forecasting, fraud analysis reporting,sales/customer relationship management (CRM) business intelligence,credit risk prediction and analysis, advanced authorization reporting,merchant benchmarking, business intelligence for small business,rewards, etc.

In one embodiment, the transaction data (109) is combined with externaldata, such as surveys, benchmarks, search engine statistics,demographics, competition information, emails, etc., to flag key eventsand data values, to set customer, merchant, data or event triggers, andto drive new transactions and new customer contacts.

Transaction Profile

In FIG. 1, the profile generator (121) generates transaction profiles(127) based on the transaction data (109), the account data (111),and/or other data, such as non-transactional data, wish lists, merchantprovided information, address information, information from socialnetwork websites, information from credit bureaus, information fromsearch engines, and other examples discussed in U.S. patent applicationSer. No. 12/614,603, filed Nov. 9, 2009 and entitled “Analyzing LocalNon-Transactional Data with Transactional Data in Predictive Models,”the disclosure of which is hereby incorporated herein by reference.

In one embodiment, the transaction profiles (127) provide intelligenceinformation on the behavior, pattern, preference, propensity, tendency,frequency, trend, and budget of the user (101) in making purchases. Inone embodiment, the transaction profiles (127) include information aboutwhat the user (101) owns, such as points, miles, or other rewardscurrency, available credit, and received offers, such as coupons loadedinto the accounts of the user (101). In one embodiment, the transactionprofiles (127) include information based on past offer/coupon redemptionpatterns. In one embodiment, the transaction profiles (127) includeinformation on shopping patterns in retail stores as well as online,including frequency of shopping, amount spent in each shopping trip,distance of merchant location (retail) from the address of the accountholder(s), etc.

In one embodiment, the transaction handler (103) provides at least partof the intelligence for the prioritization, generation, selection,customization and/or adjustment of the advertisement for delivery withina transaction process involving the transaction handler (103). Forexample, the advertisement may be presented to a customer in response tothe customer making a payment via the transaction handler (103).

Some of the transaction profiles (127) are specific to the user (101),or to an account of the user (101), or to a group of users of which theuser (101) is a member, such as a household, family, company,neighborhood, city, or group identified by certain characteristicsrelated to online activities, offline purchase activities, merchantpropensity, etc.

In one embodiment, the profile generator (121) generates and updates thetransaction profiles (127) in batch mode periodically. In otherembodiments, the profile generator (121) generates the transactionprofiles (127) in real time, or just in time, in response to a requestreceived in the portal (143) for such profiles.

In one embodiment, the transaction profiles (127) include the values fora set of parameters. Computing the values of the parameters may involvecounting transactions that meet one or more criteria, and/or building astatistically-based model in which one or more calculated values ortransformed values are put into a statistical algorithm that weightseach value to optimize its collective predictiveness for variouspredetermined purposes.

Further details and examples about the transaction profiles (127) in oneembodiment are provided in the section entitled “AGGREGATED SPENDINGPROFILE.”

Non-Transactional Data

In one embodiment, the transaction data (109) is analyzed in connectionwith non-transactional data to generate transaction profiles (127)and/or to make predictive models.

In one embodiment, transactions are correlated with non-transactionalevents, such as news, conferences, shows, announcements, market changes,natural disasters, etc. to establish cause and effect relations topredict future transactions or spending patterns. For example,non-transactional data may include the geographic location of a newsevent, the date of an event from an events calendar, the name of aperformer for an upcoming concert, etc. The non-transactional data canbe obtained from various sources, such as newspapers, websites, blogs,social networking sites, etc.

In one embodiment, when the cause and effect relationships between thetransactions and non-transactional events are known (e.g., based onprior research results, domain knowledge, expertise), the relationshipscan be used in predictive models to predict future transactions orspending patterns, based on events that occurred recently or arehappening in real time.

In one embodiment, the non-transactional data relates to events thathappened in a geographical area local to the user (101) that performedthe respective transactions. In one embodiment, a geographical area islocal to the user (101) when the distance from the user (101) tolocations in the geographical area is within a convenient range fordaily or regular travel, such as 20, 50 or 100 miles from an address ofthe user (101), or within the same city or zip code area of an addressof the user (101). Examples of analyses of local non-transactional datain connection with transaction data (109) in one embodiment are providedin U.S. patent application Ser. No. 12/614,603, filed Nov. 9, 2009 andentitled “Analyzing Local Non-Transactional Data with Transactional Datain Predictive Models,” the disclosure of which is hereby incorporatedherein by reference.

In one embodiment, the non-transactional data is not limited to localnon-transactional data. For example, national non-transactional data canalso be used.

In one embodiment, the transaction records (301) are analyzed infrequency domain to identify periodic features in spending events. Theperiodic features in the past transaction records (301) can be used topredict the probability of a time window in which a similar transactionwould occur. For example, the analysis of the transaction data (109) canbe used to predict when a next transaction having the periodic featurewould occur, with which merchant, the probability of a repeatedtransaction with a certain amount, the probability of exception, theopportunity to provide an advertisement or offer such as a coupon, etc.In one embodiment, the periodic features are detected through countingthe number of occurrences of pairs of transactions that occurred withina set of predetermined time intervals and separating the transactionpairs based on the time intervals. Some examples and techniques for theprediction of future transactions based on the detection of periodicfeatures in one embodiment are provided in U.S. patent application Ser.No. 12/773,770, filed May 4, 2010 and entitled “Frequency-BasedTransaction Prediction and Processing,” the disclosure of which ishereby incorporated herein by reference.

Techniques and details of predictive modeling in one embodiment areprovided in U.S. Pat. Nos. 6,119,103, 6,018,723, 6,658,393, 6,598,030,and 7,227,950, the disclosures of which are hereby incorporated hereinby reference.

In one embodiment, offers are based on the point-of-service to offereedistance to allow the user (101) to obtain in-person services. In oneembodiment, the offers are selected based on transaction history andshopping patterns in the transaction data (109) and/or the distancebetween the user (101) and the merchant. In one embodiment, offers areprovided in response to a request from the user (101), or in response toa detection of the location of the user (101). Examples and details ofat least one embodiment are provided in U.S. patent application Ser. No.11/767,218, filed Jun. 22, 2007, assigned Pub. No. 2008/0319843, andentitled “Supply of Requested Offer Based on Point-of Service to OffereeDistance,” U.S. patent application Ser. No. 11/755,575, filed May 30,2007, assigned Pub. No. 2008/0300973, and entitled “Supply of RequestedOffer Based on Offeree Transaction History,” U.S. patent applicationSer. No. 11/855,042, filed Sep. 13, 2007, assigned Pub. No.2009/0076896, and entitled “Merchant Supplied Offer to a Consumer withina Predetermined Distance,” U.S. patent application Ser. No. 11/855,069,filed Sep. 13, 2007, assigned Pub. No. 2009/0076925, and entitled“Offeree Requested Offer Based on Point-of Service to Offeree Distance,”and U.S. patent application Ser. No. 12/428,302, filed Apr. 22, 2009 andentitled “Receiving an Announcement Triggered by Location Data,” thedisclosures of which applications are hereby incorporated herein byreference.

Targeting Advertisement

In FIG. 1, an advertisement selector (133) prioritizes, generates,selects, adjusts, and/or customizes the available advertisement data(135) to provide user specific advertisement data (119) based at leastin part on the user specific profile (131). The advertisement selector(133) uses the user specific profile (131) as a filter and/or a set ofcriteria to generate, identify, select and/or prioritize advertisementdata for the user (101). A media controller (115) delivers the userspecific advertisement data (119) to the point of interaction (107) forpresentation to the user (101) as the targeted and/or personalizedadvertisement.

In one embodiment, the user data (125) includes the characterization ofthe context at the point of interaction (107). Thus, the use of the userspecific profile (131), selected using the user data (125), includes theconsideration of the context at the point of interaction (107) inselecting the user specific advertisement data (119).

In one embodiment, in selecting the user specific advertisement data(119), the advertisement selector (133) uses not only the user specificprofile (131), but also information regarding the context at the pointof interaction (107). For example, in one embodiment, the user data(125) includes information regarding the context at the point ofinteraction (107); and the advertisement selector (133) explicitly usesthe context information in the generation or selection of the userspecific advertisement data (119).

In one embodiment, the advertisement selector (133) may query forspecific information regarding the user (101) before providing the userspecific advertisement data (119). The queries may be communicated tothe operator of the transaction handler (103) and, in particular, to thetransaction handler (103) or the profile generator (121). For example,the queries from the advertisement selector (133) may be transmitted andreceived in accordance with an application programming interface orother query interface of the transaction handler (103), the profilegenerator (121) or the portal (143) of the transaction handler (103).

In one embodiment, the queries communicated from the advertisementselector (133) may request intelligence information regarding the user(101) at any level of specificity (e.g., segment level, individuallevel). For example, the queries may include a request for a certainfield or type of information in a cardholder's aggregate spendingprofile (341). As another example, the queries may include a request forthe spending level of the user (101) in a certain merchant category overa prior time period (e.g., six months).

In one embodiment, the advertisement selector (133) is operated by anentity that is separate from the entity that operates the transactionhandler (103). For example, the advertisement selector (133) may beoperated by a search engine, a publisher, an advertiser, an ad network,or an online merchant. The user specific profile (131) is provided tothe advertisement selector (133) to assist the customization of the userspecific advertisement data (119).

In one embodiment, advertising is targeted based on shopping patterns ina merchant category (e.g., as represented by a Merchant Category Code(MCC)) that has high correlation of spending propensity with othermerchant categories (e.g., other MCCs). For example, in the context of afirst MCC for a targeted audience, a profile identifying second MCCsthat have high correlation of spending propensity with the first MCC canbe used to select advertisements for the targeted audience.

In one embodiment, the aggregated spending profile (341) is used toprovide intelligence information about the spending patterns,preferences, and/or trends of the user (101). For example, a predictivemodel can be established based on the aggregated spending profile (341)to estimate the needs of the user (101). For example, the factor values(344) and/or the cluster ID (343) in the aggregated spending profile(341) can be used to determine the spending preferences of the user(101). For example, the channel distribution (345) in the aggregatedspending profile (341) can be used to provide a customized offertargeted for a particular channel, based on the spending patterns of theuser (101).

In one embodiment, mobile advertisements, such as offers and coupons,are generated and disseminated based on aspects of prior purchases, suchas timing, location, and nature of the purchases, etc. In oneembodiment, the size of the benefit of the offer or coupon is based onpurchase volume or spending amount of the prior purchase and/or thesubsequent purchase that may qualify for the redemption of the offer.Further details and examples of one embodiment are provided in U.S.patent application Ser. No. 11/960,162, filed Dec. 19, 2007, assignedPub. No. 2008/0201226, and entitled “Mobile Coupon Method and PortableConsumer Device for Utilizing Same,” the disclosure of which is herebyincorporated herein by reference.

In one embodiment, conditional rewards are provided to the user (101);and the transaction handler (103) monitors the transactions of the user(101) to identify redeemable rewards that have satisfied the respectiveconditions. In one embodiment, the conditional rewards are selectedbased on transaction data (109). Further details and examples of oneembodiment are provided in U.S. patent application Ser. No. 11/862,487,filed Sep. 27, 2007 and entitled “Consumer Specific ConditionalRewards,” the disclosure of which is hereby incorporated herein byreference. The techniques to detect the satisfied conditions ofconditional rewards can also be used to detect the transactions thatsatisfy the conditions specified to locate the transactions that resultfrom online activities, such as online advertisements, searches, etc.,to correlate the transactions with the respective online activities.

Further details about targeted offer delivery in one embodiment areprovided in U.S. patent application Ser. No. 12/185,332, filed Aug. 4,2008, assigned Pub. No. 2010/0030644, and entitled “Targeted Advertisingby Payment Processor History of Cashless Acquired Merchant Transactionon Issued Consumer Account,” and in U.S. patent application Ser. No.12/849,793, filed Aug. 3, 2010 and entitled “Systems and Methods forTargeted Advertisement Delivery,” the disclosures of which are herebyincorporated herein by reference.

Profile Matching

In FIG. 1, the user tracker (113) obtains and generates contextinformation about the user (101) at the point of interaction (107),including user data (125) that characterizes and/or identifies the user(101). The profile selector (129) selects a user specific profile (131)from the set of transaction profiles (127) generated by the profilegenerator (121), based on matching the characteristics of thetransaction profiles (127) and the characteristics of the user data(125). For example, the user data (125) indicates a set ofcharacteristics of the user (101); and the profile selector (129)selects the user specific profile (131) that is for a particular user ora group of users and that best matches the set of characteristicsspecified by the user data (125).

In one embodiment, the profile selector (129) receives the transactionprofiles (127) in a batch mode. The profile selector (129) selects theuser specific profile (131) from the batch of transaction profiles (127)based on the user data (125). Alternatively, the profile generator (121)generates the transaction profiles (127) in real time; and the profileselector (129) uses the user data (125) to query the profile generator(121) to generate the user specific profile (131) in real time, or justin time. The profile generator (121) generates the user specific profile(131) that best matches the user data (125).

In one embodiment, the user tracker (113) identifies the user (101)based on the user activity on the transaction terminal (105) (e.g.,having visited a set of websites, currently visiting a type of webpages, search behavior, etc.).

In one embodiment, the user data (125) includes an identifier of theuser (101), such as a global unique identifier (GUID), a personalaccount number (PAN) (e.g., credit card number, debit card number, orother card account number), or other identifiers that uniquely andpersistently identify the user (101) within a set of identifiers of thesame type. Alternatively, the user data (125) may include otheridentifiers, such as an Internet Protocol (IP) address of the user(101), a name or user name of the user (101), or a browser cookie ID,which identify the user (101) in a local, temporary, transient and/oranonymous manner. Some of these identifiers of the user (101) may beprovided by publishers, advertisers, ad networks, search engines,merchants, or the user tracker (113). In one embodiment, suchidentifiers are correlated to the user (101) based on the overlapping orproximity of the time period of their usage to establish anidentification reference table.

In one embodiment, the identification reference table is used toidentify the account information (142) (e.g., account number (302))based on characteristics of the user (101) captured in the user data(125), such as browser cookie ID, IP addresses, and/or timestamps on theusage of the IP addresses. In one embodiment, the identificationreference table is maintained by the operator of the transaction handler(103). Alternatively, the identification reference table is maintainedby an entity other than the operator of the transaction handler (103).

In one embodiment, the user tracker (113) determines certaincharacteristics of the user (101) to describe a type or group of usersof which the user (101) is a member. The transaction profile of thegroup is used as the user specific profile (131). Examples of suchcharacteristics include geographical location or neighborhood, types ofonline activities, specific online activities, or merchant propensity.In one embodiment, the groups are defined based on aggregate information(e.g., by time of day, or household), or segment (e.g., by cluster,propensity, demographics, cluster IDs, and/or factor values). In oneembodiment, the groups are defined in part via one or more socialnetworks. For example, a group may be defined based on social distancesto one or more users on a social network website, interactions betweenusers on a social network website, and/or common data in social networkprofiles of the users in the social network website.

In one embodiment, the user data (125) may match different profiles at adifferent granularity or resolution (e.g., account, user, family,company, neighborhood, etc.), with different degrees of certainty. Theprofile selector (129) and/or the profile generator (121) may determineor select the user specific profile (131) with the finest granularity orresolution with acceptable certainty. Thus, the user specific profile(131) is most specific or closely related to the user (101).

In one embodiment, the advertisement selector (133) uses further data inprioritizing, selecting, generating, customizing and adjusting the userspecific advertisement data (119). For example, the advertisementselector (133) may use search data in combination with the user specificprofile (131) to provide benefits or offers to a user (101) at the pointof interaction (107). For example, the user specific profile (131) canbe used to personalize the advertisement, such as adjusting theplacement of the advertisement relative to other advertisements,adjusting the appearance of the advertisement, etc.

Browser Cookie

In one embodiment, the user data (125) uses browser cookie informationto identify the user (101). The browser cookie information is matched toaccount information (142) or the account number (302) to identify theuser specific profile (131), such as aggregated spending profile (341)to present effective, timely, and relevant marketing information to theuser (101), via the preferred communication channel (e.g., mobilecommunications, web, mail, email, POS, etc.) within a window of timethat could influence the spending behavior of the user (101). Based onthe transaction data (109), the user specific profile (131) can improveaudience targeting for online advertising. Thus, customers will getbetter advertisements and offers presented to them; and the advertiserswill achieve better return-on-investment for their advertisementcampaigns.

In one embodiment, the browser cookie that identifies the user (101) inonline activities, such as web browsing, online searching, and usingsocial networking applications, can be matched to an identifier of theuser (101) in account data (111), such as the account number (302) of afinancial payment card of the user (101) or the account information(142) of the account identification device (141) of the user (101). Inone embodiment, the identifier of the user (101) can be uniquelyidentified via matching IP address, timestamp, cookie ID and/or otheruser data (125) observed by the user tracker (113).

In one embodiment, a look up table is used to map browser cookieinformation (e.g., IP address, timestamp, cookie ID) to the account data(111) that identifies the user (101) in the transaction handler (103).The look up table may be established via correlating overlapping orcommon portions of the user data (125) observed by different entities ordifferent user trackers (113).

For example, in one embodiment, a first user tracker (113) observes thecard number of the user (101) at a particular IP address for a timeperiod identified by a timestamp (e.g., via an online payment process);a second user tracker (113) observes the user (101) having a cookie IDat the same IP address for a time period near or overlapping with thetime period observed by the first user tracker (113). Thus, the cookieID as observed by the second user tracker (113) can be linked to thecard number of the user (101) as observed by the first user tracker(113). The first user tracker (113) may be operated by the same entityoperating the transaction handler (103) or by a different entity. Oncethe correlation between the cookie ID and the card number is establishedvia a database or a look up table, the cookie ID can be subsequentlyused to identify the card number of the user (101) and the account data(111).

In one embodiment, the portal (143) is configured to observe a cardnumber of a user (101) while the user (101) uses an IP address to makean online transaction. Thus, the portal (143) can identify a consumeraccount (146) based on correlating an IP address used to identify theuser (101) and IP addresses recorded in association with the consumeraccount (146).

For example, in one embodiment, when the user (101) makes a paymentonline by submitting the account information (142) to the transactionterminal (105) (e.g., an online store), the transaction handler (103)obtains the IP address from the transaction terminal (105) via theacquirer processor (147). The transaction handler (103) stores data toindicate the use of the account information (142) at the IP address atthe time of the transaction request. When an IP address in the queryreceived in the portal (143) matches the IP address previously recordedby the transaction handler (103), the portal (143) determines that theuser (101) identified by the IP address in the request is the same user(101) associated with the account of the transaction initiated at the IPaddress. In one embodiment, a match is found when the time of the queryrequest is within a predetermined time period from the transactionrequest, such as a few minutes, one hour, a day, etc. In one embodiment,the query may also include a cookie ID representing the user (101).Thus, through matching the IP address, the cookie ID is associated withthe account information (142) in a persistent way.

In one embodiment, the portal (143) obtains the IP address of the onlinetransaction directly. For example, in one embodiment, a user (101)chooses to use a password in the account data (111) to protect theaccount information (142) for online transactions. When the accountinformation (142) is entered into the transaction terminal (105) (e.g.,an online store or an online shopping cart system), the user (101) isconnected to the portal (143) for the verification of the password(e.g., via a pop up window, or via redirecting the web browser of theuser (101)). The transaction handler (103) accepts the transactionrequest after the password is verified via the portal (143). Throughthis verification process, the portal (143) and/or the transactionhandler (103) obtain the IP address of the user (101) at the time theaccount information (142) is used.

In one embodiment, the web browser of the user (101) communicates theuser provided password to the portal (143) directly without goingthrough the transaction terminal (105) (e.g., the server of themerchant). Alternatively, the transaction terminal (105) and/or theacquirer processor (147) may relay the password communication to theportal (143) or the transaction handler (103).

In one embodiment, the portal (143) is configured to identify theconsumer account (146) based on the IP address identified in the userdata (125) through mapping the IP address to a street address. Forexample, in one embodiment, the user data (125) includes an IP addressto identify the user (101); and the portal (143) can use a service tomap the IP address to a street address. For example, an Internet serviceprovider knows the street address of the currently assigned IP address.Once the street address is identified, the portal (143) can use theaccount data (111) to identify the consumer account (146) that has acurrent address at the identified street address. Once the consumeraccount (146) is identified, the portal (143) can provide a transactionprofile (131) specific to the consumer account (146) of the user (101).

In one embodiment, the portal (143) uses a plurality of methods toidentify consumer accounts (146) based on the user data (125). Theportal (143) combines the results from the different methods todetermine the most likely consumer account (146) for the user data(125).

Details about the identification of consumer account (146) based on userdata (125) in one embodiment are provided in U.S. patent applicationSer. No. 12/849,798, filed Aug. 3, 2010 and entitled “Systems andMethods to Match Identifiers,” the disclosure of which is herebyincorporated herein by reference.

Close the Loop

In one embodiment, the correlator (117) is used to “close the loop” forthe tracking of consumer behavior across an on-line activity and an“off-line” activity that results at least in part from the on-lineactivity. In one embodiment, online activities, such as searching, webbrowsing, social networking, and/or consuming online advertisements, arecorrelated with respective transactions to generate the correlationresult (123) in FIG. 1. The respective transactions may occur offline,in “brick and mortar” retail stores, or online but in a context outsidethe online activities, such as a credit card purchase that is performedin a way not visible to a search company that facilitates the searchactivities.

In one embodiment, the correlator (117) is to identify transactionsresulting from searches or online advertisements. For example, inresponse to a query about the user (101) from the user tracker (113),the correlator (117) identifies an offline transaction performed by theuser (101) and sends the correlation result (123) about the offlinetransaction to the user tracker (113), which allows the user tracker(113) to combine the information about the offline transaction and theonline activities to provide significant marketing advantages.

For example, a marketing department could correlate an advertisingbudget to actual sales. For example, a marketer can use the correlationresult (123) to study the effect of certain prioritization strategies,customization schemes, etc. on the impact on the actual sales. Forexample, the correlation result (123) can be used to adjust orprioritize advertisement placement on a web site, a search engine, asocial networking site, an online marketplace, or the like.

In one embodiment, the profile generator (121) uses the correlationresult (123) to augment the transaction profiles (127) with dataindicating the rate of conversion from searches or advertisements topurchase transactions. In one embodiment, the correlation result (123)is used to generate predictive models to determine what a user (101) islikely to purchase when the user (101) is searching using certainkeywords or when the user (101) is presented with an advertisement oroffer. In one embodiment, the portal (143) is configured to report thecorrelation result (123) to a partner, such as a search engine, apublisher, or a merchant, to allow the partner to use the correlationresult (123) to measure the effectiveness of advertisements and/orsearch result customization, to arrange rewards, etc.

Illustratively, a search engine entity may display a search page withparticular advertisements for flat panel televisions produced bycompanies A, B, and C. The search engine entity may then compare theparticular advertisements presented to a particular consumer withtransaction data of that consumer and may determine that the consumerpurchased a flat panel television produced by Company B. The searchengine entity may then use this information and other informationderived from the behavior of other consumers to determine theeffectiveness of the advertisements provided by companies A, B, and C.The search engine entity can determine if the placement, the appearance,or other characteristic of the advertisement results in actual increasedsales. Adjustments to advertisements (e.g., placement, appearance, etc.)may be made to facilitate maximum sales.

In one embodiment, the correlator (117) matches the online activitiesand the transactions based on matching the user data (125) provided bythe user tracker (113) and the records of the transactions, such astransaction data (109) or transaction records (301). In anotherembodiment, the correlator (117) matches the online activities and thetransactions based on the redemption of offers/benefits provided in theuser specific advertisement data (119).

In one embodiment, the portal (143) is configured to receive a set ofconditions and an identification of the user (101), determine whetherthere is any transaction of the user (101) that satisfies the set ofconditions, and if so, provide indications of the transactions thatsatisfy the conditions and/or certain details about the transactions,which allows the requester to correlate the transactions with certainuser activities, such as searching, web browsing, consumingadvertisements, etc.

In one embodiment, the requester may not know the account number (302)of the user (101); and the portal (143) is to map the identifierprovided in the request to the account number (302) of the user (101) toprovide the requested information. Examples of the identifier beingprovided in the request to identify the user (101) include anidentification of an iFrame of a web page visited by the user (101), abrowser cookie ID, an IP address and the day and time corresponding tothe use of the IP address, etc.

The information provided by the portal (143) can be used in pre-purchasemarketing activities, such as customizing content or offers,prioritizing content or offers, selecting content or offers, etc., basedon the spending pattern of the user (101). The content that iscustomized, prioritized, selected, or recommended may be the searchresults, blog entries, items for sale, etc.

The information provided by the portal (143) can be used inpost-purchase activities. For example, the information can be used tocorrelate an offline purchase with online activities. For example, theinformation can be used to determine purchases made in response to mediaevents, such as television programs, advertisements, news announcements,etc.

Details about profile delivery, online activity to offline purchasetracking, techniques to identify the user specific profile (131) basedon user data (125) (such as IP addresses), and targeted delivery ofadvertisement/offer/benefit in some embodiments are provided in U.S.patent application Ser. No. 12/849,789, filed Aug. 3, 2010 and entitled“Systems and Methods for Closing the Loop between Online Activities andOffline Purchases,” the disclosure of which application is incorporatedherein by reference.

Matching Advertisement & Transaction

In one embodiment, the correlator (117) is configured to receiveinformation about the user specific advertisement data (119), monitorthe transaction data (109), identify transactions that can be consideredresults of the advertisement corresponding to the user specificadvertisement data (119), and generate the correlation result (123), asillustrated in FIG. 1.

When the advertisement and the corresponding transaction both occur inan online checkout process, a website used for the online checkoutprocess can be used to correlate the transaction and the advertisement.However, the advertisement and the transaction may occur in separateprocesses and/or under control of different entities (e.g., when thepurchase is made offline at a retail store, while the advertisement ispresented outside the retail store). In one embodiment, the correlator(117) uses a set of correlation criteria to identify the transactionsthat can be considered as the results of the advertisements.

In one embodiment, the correlator (117) identifies the transactionslinked or correlated to the user specific advertisement data (119) basedon various criteria. For example, the user specific advertisement data(119) may include a coupon offering a benefit contingent upon a purchasemade according to the user specific advertisement data (119). The use ofthe coupon identifies the user specific advertisement data (119), andthus allows the correlator (117) to correlate the transaction with theuser specific advertisement data (119).

In one embodiment, the user specific advertisement data (119) isassociated with the identity or characteristics of the user (101), suchas global unique identifier (GUID), personal account number (PAN),alias, IP address, name or user name, geographical location orneighborhood, household, user group, and/or user data (125). Thecorrelator (117) can link or match the transactions with theadvertisements based on the identity or characteristics of the user(101) associated with the user specific advertisement data (119). Forexample, the portal (143) may receive a query identifying the user data(125) that tracks the user (101) and/or characteristics of the userspecific advertisement data (119); and the correlator (117) identifiesone or more transactions matching the user data (125) and/or thecharacteristics of the user specific advertisement data (119) togenerate the correlation result (123).

In one embodiment, the correlator (117) identifies the characteristicsof the transactions and uses the characteristics to search foradvertisements that match the transactions. Such characteristics mayinclude GUID, PAN, IP address, card number, browser cookie information,coupon, alias, etc.

In FIG. 1, the profile generator (121) uses the correlation result (123)to enhance the transaction profiles (127) generated from the profilegenerator (121). The correlation result (123) provides details on thepurchases and/or indicates the effectiveness of the user specificadvertisement data (119).

In one embodiment, the correlation result (123) is used to demonstrateto the advertisers the effectiveness of the advertisements, to processincentive or rewards associated with the advertisements, to obtain atleast a portion of advertisement revenue based on the effectiveness ofthe advertisements, to improve the selection of advertisements, etc.

Coupon Matching

In one embodiment, the correlator (117) identifies a transaction that isa result of an advertisement (e.g., 119) when an offer or benefitprovided in the advertisement is redeemed via the transaction handler(103) in connection with a purchase identified in the advertisement.

For example, in one embodiment, when the offer is extended to the user(101), information about the offer can be stored in association with theaccount of the user (101) (e.g., as part of the account data (111)). Theuser (101) may visit the portal (143) of the transaction handler (103)to view the stored offer.

The offer stored in the account of the user (101) may be redeemed viathe transaction handler (103) in various ways. For example, in oneembodiment, the correlator (117) may download the offer to thetransaction terminal (105) via the transaction handler (103) when thecharacteristics of the transaction at the transaction terminal (105)match the characteristics of the offer.

After the offer is downloaded to the transaction terminal (105), thetransaction terminal (105) automatically applies the offer when thecondition of the offer is satisfied in one embodiment. Alternatively,the transaction terminal (105) allows the user (101) to selectivelyapply the offers downloaded by the correlator (117) or the transactionhandler (103). In one embodiment, the correlator (117) sends remindersto the user (101) at a separate point of interaction (107) (e.g., amobile phone) to remind the user (101) to redeem the offer. In oneembodiment, the transaction handler (103) applies the offer (e.g., viastatement credit), without having to download the offer (e.g., coupon)to the transaction terminal (105). Examples and details of redeemingoffers via statement credit are provided in U.S. patent application Ser.No. 12/566,350, filed Sep. 24, 2009 and entitled “Real-Time StatementCredits and Notifications,” the disclosure of which is herebyincorporated herein by reference.

In one embodiment, the offer is captured as an image and stored inassociation with the account of the user (101). Alternatively, the offeris captured in a text format (e.g., a code and a set of criteria),without replicating the original image of the coupon.

In one embodiment, when the coupon is redeemed, the advertisementpresenting the coupon is correlated with a transaction in which thecoupon is redeemed, and/or is determined to have resulted in atransaction. In one embodiment, the correlator (117) identifiesadvertisements that have resulted in purchases, without having toidentify the specific transactions that correspond to theadvertisements.

Details about offer redemption via the transaction handler (103) in oneembodiment are provided in U.S. patent application Ser. No. 12/849,801,filed Aug. 3, 2010 and entitled “Systems and Methods for Multi-ChannelOffer Redemption,” the disclosure of which is hereby incorporated hereinby reference.

On ATM & POS Terminal

In one example, the transaction terminal (105) is an automatic tellermachine (ATM), which is also the point of interaction (107). When theuser (101) approaches the ATM to make a transaction (e.g., to withdrawcash via a credit card or debit card), the ATM transmits accountinformation (142) to the transaction handler (103). The accountinformation (142) can also be considered as the user data (125) toselect the user specific profile (131). The user specific profile (131)can be sent to an advertisement network to query for a targetedadvertisement. After the advertisement network matches the user specificprofile (131) with user specific advertisement data (119) (e.g., atargeted advertisement), the transaction handler (103) may send theadvertisement to the ATM, together with the authorization for cashwithdrawal.

In one embodiment, the advertisement shown on the ATM includes a couponthat offers a benefit that is contingent upon the user (101) making apurchase according to the advertisement. The user (101) may view theoffer presented on a white space on the ATM screen and select to load orstore the coupon in a storage device of the transaction handler (103)under the account of the user (101). The transaction handler (103)communicates with the bank to process the cash withdrawal. After thecash withdrawal, the ATM prints the receipt which includes aconfirmation of the coupon, or a copy of the coupon. The user (101) maythen use the coupon printed on the receipt. Alternatively, when the user(101) uses the same account to make a relevant purchase, the transactionhandler (103) may automatically apply the coupon stored under theaccount of the user (101), or automatically download the coupon to therelevant transaction terminal (105), or transmit the coupon to themobile phone of the user (101) to allow the user (101) to use the couponvia a display of the coupon on the mobile phone. The user (101) mayvisit a web portal (143) of the transaction handler (103) to view thestatus of the coupons collected in the account of the user (101).

In one embodiment, the advertisement is forwarded to the ATM via thedata stream for authorization. In another embodiment, the ATM makes aseparate request to a server of the transaction handler (103) (e.g., aweb portal) to obtain the advertisement. Alternatively, or incombination, the advertisement (including the coupon) is provided to theuser (101) at separate, different points of interactions, such as via atext message to a mobile phone of the user (101), via an email, via abank statement, etc.

Details of presenting targeted advertisements on ATMs based onpurchasing preferences and location data in one embodiment are providedin U.S. patent application Ser. No. 12/266,352, filed Nov. 6, 2008 andentitled “System Including Automated Teller Machine with Data BearingMedium,” the disclosure of which is hereby incorporated herein byreference.

In another example, the transaction terminal (105) is a POS terminal atthe checkout station in a retail store (e.g., a self-service checkoutregister). When the user (101) pays for a purchase via a payment card(e.g., a credit card or a debit card), the transaction handler (103)provides a targeted advertisement having a coupon obtained from anadvertisement network. The user (101) may load the coupon into theaccount of the payment card and/or obtain a hardcopy of the coupon fromthe receipt. When the coupon is used in a transaction, the advertisementis linked to the transaction.

Details of presenting targeted advertisements during the process ofauthorizing a financial payment card transaction in one embodiment areprovided in U.S. patent application Ser. No. 11/799,549, filed May 1,2007, assigned Pub. No. 2008/0275771, and entitled “Merchant TransactionBased Advertising,” the disclosure of which is hereby incorporatedherein by reference.

In one embodiment, the user specific advertisement data (119), such asoffers or coupons, is provided to the user (101) via the transactionterminal (105) in connection with an authorization message during theauthorization of a transaction processed by the transaction handler(103). The authorization message can be used to communicate the rewardsqualified for by the user (101) in response to the current transaction,the status and/or balance of rewards in a loyalty program, etc. Examplesand details related to the authorization process in one embodiment areprovided in U.S. patent application Ser. No. 11/266,766, filed Nov. 2,2005, assigned Pub. No. 2007/0100691, and entitled “Method and Systemfor Conducting Promotional Programs,” the disclosure of which is herebyincorporated herein by reference.

In one embodiment, when the user (101) is conducting a transaction witha first merchant via the transaction handler (103), the transactionhandler (103) may determine whether the characteristics of thetransaction satisfy the conditions specified for an announcement, suchas an advertisement, offer or coupon, from a second merchant. If theconditions are satisfied, the transaction handler (103) provides theannouncement to the user (101). In one embodiment, the transactionhandler (103) may auction the opportunity to provide the announcementsto a set of merchants. Examples and details related to the delivery ofsuch announcements in one embodiment are provided in U.S. patentapplication Ser. No. 12/428,241, filed Apr. 22, 2009 and entitled“Targeting Merchant Announcements Triggered by Consumer ActivityRelative to a Surrogate Merchant,” the disclosure of which is herebyincorporated herein by reference.

On Third Party Site

In a further example, the user (101) may visit a third party website,which is the point of interaction (107) in FIG. 1. The third partywebsite may be a web search engine, a news website, a blog, a socialnetwork site, etc. The behavior of the user (101) at the third partywebsite may be tracked via a browser cookie, which uses a storage spaceof the browser to store information about the user (101) at the thirdparty website. Alternatively, or in combination, the third party websiteuses the server logs to track the activities of the user (101). In oneembodiment, the third party website may allow an advertisement networkto present advertisements on portions of the web pages. Theadvertisement network tracks the user behavior using its server logsand/or browser cookies. For example, the advertisement network may use abrowser cookie to identify a particular user across multiple websites.Based on the referral uniform resource locators (URL) that cause theadvertisement network to load advertisements in various web pages, theadvertisement network can determine the online behavior of the user(101) via analyzing the web pages that the user (101) has visited. Basedon the tracked online activities of the user (101), the user data (125)that characterizes the user (101) can be formed to query the profilerselector (129) for a user specific profile (131).

In one embodiment, the cookie identity of the user (101) as trackedusing the cookie can be correlated to an account of the user (101), thefamily of the user (101), the company of the user (101), or other groupsthat include the user (101) as a member. Thus, the cookie identity canbe used as the user data (125) to obtain the user specific profile(131). For example, when the user (101) makes an online purchase from aweb page that contains an advertisement that is tracked with the cookieidentity, the cookie identity can be correlated to the onlinetransaction and thus to the account of the user (101). For example, whenthe user (101) visits a web page after authentication of the user (101),and the web page includes an advertisement from the advertisementnetwork, the cookie identity can be correlated to the authenticatedidentity of the user (101). For example, when the user (101) signs in toa web portal of the transaction handler (103) to access the account ofthe user (101), the cookie identity used by the advertisement network onthe web portal can be correlated to the account of the user (101).

Other online tracking techniques can also be used to correlate thecookie identity of the user (101) with an identifier of the user (101)known by the profile selector (129), such as a GUID, PAN, accountnumber, customer number, social security number, etc. Subsequently, thecookie identity can be used to select the user specific profile (131).

Multiple Communications

In one embodiment, the entity operating the transaction handler (103)may provide intelligence for providing multiple communications regardingan advertisement. The multiple communications may be directed to two ormore points of interaction with the user (101).

For example, after the user (101) is provided with an advertisement viathe transaction terminal (105), reminders or revisions to theadvertisements can be sent to the user (101) via a separate point ofinteraction (107), such as a mobile phone, email, text message, etc. Forexample, the advertisement may include a coupon to offer the user (101)a benefit contingent upon a purchase. If the correlator (117) determinesthat the coupon has not been redeemed, the correlator (117) may send amessage to the mobile phone of the user (101) to remind the user (101)about the offer, and/or revise the offer.

Examples of multiple communications related to an offer in oneembodiment are provided in U.S. patent application Ser. No. 12/510,167,filed Jul. 27, 2009 and entitled “Successive Offer Communications withan Offer Recipient,” the disclosure of which is hereby incorporatedherein by reference.

Auction Engine

In one embodiment, the transaction handler (103) provides a portal toallow various clients to place bids according to clusters (e.g., totarget entities in the clusters for marketing, monitoring, researching,etc.)

For example, the cardholders may register in a program to receiveoffers, such as promotions, discounts, sweepstakes, reward points,direct mail coupons, email coupons, etc. The cardholders may registerwith issuers, or with the portal (143) of the transaction handler (103).Based on the transaction data (109) or transaction records (301) and/orthe registration data, the profile generator (121) is to identify theclusters of cardholders and the values representing the affinity of thecardholders to the clusters. Various entities may place bids accordingto the clusters and/or the values to gain access to the cardholders,such as the user (101). For example, an issuer may bid on access tooffers; an acquirer and/or a merchant may bid on customer segments. Anauction engine receives the bids and awards segments and offers based onthe received bids. Thus, the customers can get great deals; andmerchants can get customer traffic and thus sales.

Some techniques to identify a segment of users (101) for marketing areprovided in U.S. patent application Ser. No. 12/288,490, filed Oct. 20,2008, assigned Pub. No. 2009/0222323, and entitled “OpportunitySegmentation,” U.S. patent application Ser. No. 12/108,342, filed Apr.23, 2008, assigned Pub. No. 2009/0271305, and entitled “PaymentPortfolio Optimization,” and U.S. patent application Ser. No.12/108,354, filed Apr. 23, 2008, assigned Pub. No. 2009/0271327, andentitled “Payment Portfolio Optimization,” the disclosures of whichapplications are hereby incorporated herein by reference.

Social Network Validation

In one embodiment, the transaction data (109) is combined with socialnetwork data and/or search engine data to provide benefits (e.g.,coupons) to a consumer. For example, a data exchange apparatus mayidentify cluster data based upon consumer search engine data, socialnetwork data, and payment transaction data to identify like groups ofindividuals who would respond favorably to particular types of benefitssuch as coupons and statement credits. Advertisement campaigns may beformulated to target the cluster of cardholders.

In one embodiment, search engine data is combined with social networkdata and/or the transaction data (109) to evaluate the effectiveness ofthe advertisements and/or conversion pattern of the advertisements. Forexample, after a search engine displays advertisements about flat paneltelevisions to a consumer, a social network that is used by a consumermay provide information about a related purchase made by the consumer.For example, the blog of the consumer, and/or the transaction data(109), may indicate that the flat panel television purchased by theconsumer is from company B. Thus, the search engine data and the socialnetwork data and/or the transaction data (109) can be combined tocorrelate advertisements to purchases resulting from the advertisementsand to determine the conversion pattern of the advertisement to theconsumer. Adjustments to advertisements (e.g., placement, appearance,etc.) can be made to improve the effectiveness of the advertisements andthus increase sales.

Loyalty Program

In one embodiment, the transaction handler (103) uses the account data(111) to store information for third party loyalty programs. Thetransaction handler (103) processes payment transactions made viafinancial transaction cards, such as credit cards, debit cards, bankingcards, etc.; and the financial transaction cards can be used as loyaltycards for the respective third party loyalty programs. Since the thirdparty loyalty programs are hosted on the transaction handler (103), theconsumers do not have to carry multiple, separate loyalty cards (e.g.,one for each merchant that offers a loyalty program); and the merchantsdo not have to spend a large setup and investment fee to establish theloyalty program. The loyalty programs hosted on the transaction handler(103) can provide flexible awards for consumers, retailers,manufacturers, issuers, and other types of business entities involved inthe loyalty programs. The integration of the loyalty programs into theaccounts of the customers on the transaction handler (103) allows newofferings, such as merchant cross-offerings or bundling of loyaltyofferings.

In one embodiment, an entity operating the transaction handler (103)hosts loyalty programs for third parties using the account data (111) ofthe users (e.g., 101). A third party, such as a merchant, a retailer, amanufacturer, an issuer or other entity that is interested in promotingcertain activities and/or behaviors, may offer loyalty rewards onexisting accounts of consumers. The incentives delivered by the loyaltyprograms can drive behavior changes without the hassle of loyalty cardcreation. In one embodiment, the loyalty programs hosted via theaccounts of the users (e.g., 101) of the transaction handler (103) allowthe consumers to carry fewer cards and may provide more data to themerchants than traditional loyalty programs.

The loyalty programs integrated with the accounts of the users (e.g.,101) of the transaction handler (103) can provide tools to enable nimbleprograms that are better aligned for driving changes in consumerbehaviors across transaction channels (e.g., online, offline, via mobiledevices). The loyalty programs can be ongoing programs that accumulatebenefits for the customers (e.g., points, miles, cash back), and/orprograms that provide one time benefits or limited time benefits (e.g.,rewards, discounts, incentives).

FIG. 8 shows the structure of account data (111) for providing loyaltyprograms according to one embodiment. In FIG. 8, data related to a thirdparty loyalty program may include an identifier of the loyalty benefitofferor (183) that is linked to a set of loyalty program rules (185) andloyalty record (187) for the loyalty program activities of the accountidentifier (181). In one embodiment, at least part of the data relatedto the third party loyalty program is stored under the accountidentifier (181) of the user (101), such as the loyalty record (187).

FIG. 8 illustrates the data related to one third party loyalty programof a loyalty benefit offeror (183). In one embodiment, the accountidentifier (181) may be linked to multiple loyalty benefit offerors(e.g., 183), corresponding to different third party loyalty programs.

In one embodiment, a third party loyalty program of the loyalty benefitofferor (183) provides the user (101), identified by the accountidentifier (181), with benefits, such as discounts, rewards, incentives,cash back, gifts, coupons, and/or privileges.

In one embodiment, the association between the account identifier (181)and the loyalty benefit offeror (183) in the account data (111)indicates that the user (101) having the account identifier (181) is amember of the loyalty program. Thus, the user (101) may use the accountidentifier (181) to access privileges afforded to the members of theloyalty programs, such as rights to access a member only area, facility,store, product or service, discounts extended only to members, oropportunities to participate in certain events, buy certain items, orreceive certain services reserved for members.

In one embodiment, it is not necessary to make a purchase to use theprivileges. The user (101) may enjoy the privileges based on the statusof being a member of the loyalty program. The user (101) may use theaccount identifier (181) to show the status of being a member of theloyalty program.

For example, the user (101) may provide the account identifier (181)(e.g., the account number of a credit card) to the transaction terminal(105) to initiate an authorization process for a special transactionwhich is designed to check the member status of the user (101), as ifthe account identifier (181) were used to initiate an authorizationprocess for a payment transaction. The special transaction is designedto verify the member status of the user (101) via checking whether theaccount data (111) is associated with the loyalty benefit offeror (183).If the account identifier (181) is associated with the correspondingloyalty benefit offeror (183), the transaction handler (103) provides anapproval indication in the authorization process to indicate that theuser (101) is a member of the loyalty program. The approval indicationcan be used as a form of identification to allow the user (101) toaccess member privileges, such as access to services, products,opportunities, facilities, discounts, permissions, which are reservedfor members.

In one embodiment, when the account identifier (181) is used to identifythe user (101) as a member to access member privileges, the transactionhandler (103) stores information about the access of the correspondingmember privilege in loyalty record (187). The profile generator (121)may use the information accumulated in the loyalty record (187) toenhance transaction profiles (127) and provide the user (101) withpersonalized/targeted advertisements, with or without further offers ofbenefit (e.g., discounts, incentives, rebates, cash back, rewards,etc.).

In one embodiment, the association of the account identifier (181) andthe loyalty benefit offeror (183) also allows the loyalty benefitofferor (183) to access at least a portion of the account data (111)relevant to the loyalty program, such as the loyalty record (187) andcertain information about the user (101), such as name, address, andother demographic data.

In one embodiment, the loyalty program allows the user (101) toaccumulate benefits according to loyalty program rules (185), such asreward points, cash back, levels of discounts, etc. For example, theuser (101) may accumulate reward points for transactions that satisfythe loyalty program rules (185); and the user (101) may use the rewardpoints to redeem cash, gift, discounts, etc. In one embodiment, theloyalty record (187) stores the accumulated benefits; and thetransaction handler (103) updates the loyalty record (187) associatedwith the loyalty benefit offeror (183) and the account identifier (181),when events that satisfy the loyalty program rules occur.

In one embodiment, the accumulated benefits as indicated in the loyaltyrecord (187) can be redeemed when the account identifier (181) is usedto perform a payment transaction, when the payment transaction satisfiesthe loyalty program rules. For example, the user (101) may redeem anumber of points to offset or reduce an amount of the purchase price.

In one embodiment, when the user (101) uses the account identifier (181)to make purchases as a member, the merchant may further provideinformation about the purchases; and the transaction handler (103) canstore the information about the purchases as part of the loyalty record(187). The information about the purchases may identify specific itemsor services purchased by the member. For example, the merchant mayprovide the transaction handler (103) with purchase details atstock-keeping unit (SKU) level, which are then stored as part of theloyalty record (187). The loyalty benefit offeror (183) may use thepurchase details to study the purchase behavior of the user (101); andthe profile generator (121) may use the SKU level purchase details toenhance the transaction profiles (127).

In one embodiment, the SKU level purchase details are requested from themerchants or retailers via authorization responses (e.g., as illustratedin FIG. 9), when the account (146) of the user (101) is enrolled in aloyalty program that allows the transaction handler (103) (and/or theissuer processor (145)) to collect the purchase details.

In one embodiment, the profile generator (121) may generate transactionprofiles (127) based on the loyalty record (187) and provide thetransaction profiles (127) to the loyalty benefit offeror (183) (orother entities when permitted).

In one embodiment, the loyalty benefit offeror (183) may use thetransaction profiles (e.g., 127 or 131) to select candidates formembership offering. For example, the loyalty program rules (185) mayinclude one or more criteria that can be used to identify whichcustomers are eligible for the loyalty program. The transaction handler(103) may be configured to automatically provide the qualified customerswith the offer of membership in the loyalty program when thecorresponding customers are performing transactions via the transactionhandler (103) and/or via points of interaction (107) accessible to theentity operating the transaction handler (103), such as ATMs, mobilephones, receipts, statements, websites, etc. The user (101) may acceptthe membership offer via responding to the advertisement. For example,the user (101) may load the membership into the account in the same wayas loading a coupon into the account of the user (101).

In one embodiment, the membership offer is provided as a coupon or isassociated with another offer of benefits, such as a discount, reward,etc. When the coupon or benefit is redeemed via the transaction handler(103), the account data (111) is updated to enroll the user (101) intothe corresponding loyalty program.

In one embodiment, a merchant may enroll a user (101) into a loyaltyprogram when the user (101) is making a purchase at the transactionterminal (105) of the merchant.

For example, when the user (101) is making a transaction at an ATM,performing a self-assisted check out on a POS terminal, or making apurchase transaction on a mobile phone or a computer, the user (101) maybe prompted to join a loyalty program, while the transaction is beingauthorized by the transaction handler (103). If the user (101) acceptsthe membership offer, the account data (111) is updated to have theaccount identifier (181) associated with the loyalty benefit offeror(183).

In one embodiment, the user (101) may be automatically enrolled in theloyalty program, when the profile of the user (101) satisfies a set ofconditions specified in the loyalty program rules (185). The user (101)may opt out of the loyalty program.

In one embodiment, the loyalty benefit offeror (183) may personalizeand/or target loyalty benefits based on the transaction profile (131)specific to or linked to the user (101). For example, the loyaltyprogram rules (185) may use the user specific profile (131) to selectgifts, rewards, or incentives for the user (101) (e.g., to redeembenefits, such as reward points, accumulated in the loyalty record(187)). The user specific profile (131) may be enhanced using theloyalty record (187), or generated based on the loyalty record (187).For example, the profile generator (121) may use a subset of transactiondata (109) associated with the loyalty record (187) to generate the userspecific profile (131), or provide more weight to the subset of thetransaction data (109) associated with the loyalty record (187) whilealso using other portions of the transaction data (109) in deriving theuser specific profile (131).

In one embodiment, the loyalty program may involve different entities.For example, a first merchant may offer rewards as discounts, or giftsfrom a second merchant that has a business relationship with the firstmerchant. For example, an entity may allow a user (101) to accumulateloyalty benefits (e.g., reward points) via purchase transactions at agroup of different merchants. For example, a group of merchants mayjointly offer a loyalty program, in which loyalty benefits (e.g., rewardpoints) can be accumulated from purchases at any of the merchants in thegroup and redeemable in purchases at any of the merchants.

In one embodiment, the information identifying the user (101) as amember of a loyalty program is stored on a server connected to thetransaction handler (103). Alternatively or in combination, theinformation identifying the user (101) as a member of a loyalty programcan also be stored in the financial transaction card (e.g., in the chip,or in the magnetic strip).

In one embodiment, loyalty program offerors (e.g., merchants,manufactures, issuers, retailers, clubs, organizations, etc.) cancompete with each other in making loyalty program related offers. Forexample, loyalty program offerors may place bids on loyalty programrelated offers; and the advertisement selector (133) (e.g., under thecontrol of the entity operating the transaction handler (103), or adifferent entity) may prioritize the offers based on the bids. When theoffers are accepted or redeemed by the user (101), the loyalty programofferors pay fees according to the corresponding bids. In oneembodiment, the loyalty program offerors may place an auto bid ormaximum bid, which specifies the upper limit of a bid; and the actualbid is determined to be the lowest possible bid that is larger than thebids of the competitors, without exceeding the upper limit.

In one embodiment, the offers are provided to the user (101) in responseto the user (101) being identified by the user data (125). If the userspecific profile (131) satisfies the conditions specified in the loyaltyprogram rules (185), the offer from the loyalty benefit offeror (183)can be presented to the user (101). When there are multiple offers fromdifferent offerors, the offers can be prioritized according to the bids.

In one embodiment, the offerors can place bids based on thecharacteristics that can be used as the user data (125) to select theuser specific profile (131). In another embodiment, the bids can beplaced on a set of transaction profiles (127).

In one embodiment, the loyalty program based offers are provided to theuser (101) just in time when the user (101) can accept and redeem theoffers. For example, when the user (101) is making a payment for apurchase from a merchant, an offer to enroll in a loyalty programoffered by the merchant or related offerors can be presented to the user(101). If the user (101) accepts the offer, the user (101) is entitledto receive member discounts for the purchase.

For example, when the user (101) is making a payment for a purchase froma merchant, a reward offer can be provided to the user (101) based onloyalty program rules (185) and the loyalty record (187) associated withthe account identifier (181) of the user (101) (e.g., the reward pointsaccumulated in a loyalty program). Thus, the user effort for redeemingthe reward points can be reduced; and the user experience can beimproved.

In one embodiment, a method to provide loyalty programs includes the useof a computing apparatus of a transaction handler (103). The computingapparatus processes a plurality of payment card transactions. After thecomputing apparatus receives a request to track transactions for aloyalty program, such as the loyalty program rules (185), the computingapparatus stores and updates loyalty program information in response totransactions occurring in the loyalty program. The computing apparatusprovides to a customer (e.g., 101) an offer of a benefit when thecustomer satisfies a condition defined in the loyalty program, such asthe loyalty program rules (185).

Examples of loyalty programs through collaboration between collaborativeconstituents in a payment processing system, including the transactionhandler (103) in one embodiment are provided in U.S. patent applicationSer. No. 11/767,202, filed Jun. 22, 2007, assigned Pub. No.2008/0059302, and entitled “Loyalty Program Service,” U.S. patentapplication Ser. No. 11/848,112, filed Aug. 30, 2007, assigned Pub. No.2008/0059306, and entitled “Loyalty Program Incentive Determination,”and U.S. patent application Ser. No. 11/848,179, filed Aug. 30, 2007,assigned Pub. No. 2008/0059307, and entitled “Loyalty Program ParameterCollaboration,” the disclosures of which applications are herebyincorporated herein by reference.

Examples of processing the redemption of accumulated loyalty benefitsvia the transaction handler (103) in one embodiment are provided in U.S.patent application Ser. No. 11/835,100, filed Aug. 7, 2007, assignedPub. No. 2008/0059303, and entitled “Transaction Evaluation forProviding Rewards,” the disclosure of which is hereby incorporatedherein by reference.

In one embodiment, the incentive, reward, or benefit provided in theloyalty program is based on the presence of correlated relatedtransactions. For example, in one embodiment, an incentive is providedif a financial payment card is used in a reservation system to make areservation and the financial payment card is subsequently used to payfor the reserved good or service. Further details and examples of oneembodiment are provided in U.S. patent application Ser. No. 11/945,907,filed Nov. 27, 2007, assigned Pub. No. 2008/0071587, and entitled“Incentive Wireless Communication Reservation,” the disclosure of whichis hereby incorporated herein by reference.

In one embodiment, the transaction handler (103) provides centralizedloyalty program management, reporting and membership services. In oneembodiment, membership data is downloaded from the transaction handler(103) to acceptance point devices, such as the transaction terminal(105). In one embodiment, loyalty transactions are reported from theacceptance point devices to the transaction handler (103); and the dataindicating the loyalty points, rewards, benefits, etc. are stored on theaccount identification device (141). Further details and examples of oneembodiment are provided in U.S. patent application Ser. No. 10/401,504,filed Mar. 27, 2003, assigned Pub. No. 2004/0054581, and entitled“Network Centric Loyalty System,” the disclosure of which is herebyincorporated herein by reference.

In one embodiment, the portal (143) of the transaction handler (103) isused to manage reward or loyalty programs for entities such as issuers,merchants, etc. The cardholders, such as the user (101), are rewardedwith offers/benefits from merchants. The portal (143) and/or thetransaction handler (103) track the transaction records for themerchants for the reward or loyalty programs. Further details andexamples of one embodiment are provided in U.S. patent application Ser.No. 11/688,423, filed Mar. 20, 2007, assigned Pub. No. 2008/0195473, andentitled “Reward Program Manager,” the disclosure of which is herebyincorporated herein by reference.

In one embodiment, a loyalty program includes multiple entitiesproviding access to detailed transaction data, which allows theflexibility for the customization of the loyalty program. For example,issuers or merchants may sponsor the loyalty program to provide rewards;and the portal (143) and/or the transaction handler (103) stores theloyalty currency in the data warehouse (149). Further details andexamples of one embodiment are provided in U.S. patent application Ser.No. 12/177,530, filed Jul. 22, 2008, assigned Pub. No. 2009/0030793, andentitled “Multi-Vender Multi-Loyalty Currency Program,” the disclosureof which is hereby incorporated herein by reference.

In one embodiment, an incentive program is created on the portal (143)of the transaction handler (103). The portal (143) collects offers froma plurality of merchants and stores the offers in the data warehouse(149). The offers may have associated criteria for their distributions.The portal (143) and/or the transaction handler (103) may recommendoffers based on the transaction data (109). In one embodiment, thetransaction handler (103) automatically applies the benefits of theoffers during the processing of the transactions when the transactionssatisfy the conditions associated with the offers. In one embodiment,the transaction handler (103) communicates with transaction terminals(105) to set up, customize, and/or update offers based on market focus,product categories, service categories, targeted consumer demographics,etc. Further details and examples of one embodiment are provided in U.S.patent application Ser. No. 12/413,097, filed Mar. 27, 2009, assignedPub. No. 2010-0049620, and entitled “Merchant Device Support of anIntegrated Offer Network,” the disclosure of which is herebyincorporated herein by reference.

In one embodiment, the transaction handler (103) is configured toprovide offers from merchants to the user (101) via the payment system,making accessing and redeeming the offers convenient for the user (101).The offers may be triggered by and/or tailored to a previoustransaction, and may be valid only for a limited period of time startingfrom the date of the previous transaction. If the transaction handler(103) determines that a subsequent transaction processed by thetransaction handler (103) meets the conditions for the redemption of anoffer, the transaction handler (103) may credit the consumer account(146) for the redemption of the offer and/or provide a notificationmessage to the user (101). Further details and examples of oneembodiment are provided in U.S. patent application Ser. No. 12/566,350,filed Sep. 24, 2009 and entitled “Real-Time Statement Credits AndNotifications,” the disclosure of which is hereby incorporated herein byreference.

Details on loyalty programs in one embodiment are provided in U.S.patent application Ser. No. 12/896,632, filed Oct. 1, 2010 and entitled“Systems and Methods to Provide Loyalty Programs,” the disclosure ofwhich is hereby incorporated herein by reference.

SKU

In one embodiment, merchants generate stock-keeping unit (SKU) or otherspecific information that identifies the particular goods and servicespurchased by the user (101) or customer. The SKU information may beprovided to the operator of the transaction handler (103) that processedthe purchases. The operator of the transaction handler (103) may storethe SKU information as part of transaction data (109), and reflect theSKU information for a particular transaction in a transaction profile(127 or 131) associated with the person involved in the transaction.

When a user (101) shops at a traditional retail store or browses awebsite of an online merchant, an SKU-level profile associatedspecifically with the user (101) may be provided to select anadvertisement appropriately targeted to the user (101) (e.g., via mobilephones, POS terminals, web browsers, etc.). The SKU-level profile forthe user (101) may include an identification of the goods and serviceshistorically purchased by the user (101). In addition, the SKU-levelprofile for the user (101) may identify goods and services that the user(101) may purchase in the future. The identification may be based onhistorical purchases reflected in SKU-level profiles of otherindividuals or groups that are determined to be similar to the user(101). Accordingly, the return on investment for advertisers andmerchants can be greatly improved.

In one embodiment, the user specific profile (131) is an aggregatedspending profile (341) that is generated using the SKU-levelinformation. For example, in one embodiment, the factor values (344)correspond to factor definitions (331) that are generated based onaggregating spending in different categories of products and/orservices. A typical merchant offers products and/or services in manydifferent categories.

In one embodiment, the user (101) may enter into transactions withvarious online and “brick and mortar” merchants. The transactions mayinvolve the purchase of various items of goods and services. The goodsand services may be identified by SKU numbers or other information thatspecifically identifies the goods and services purchased by the user(101).

In one embodiment, the merchant may provide the SKU informationregarding the goods and services purchased by the user (101) (e.g.,purchase details at SKU level) to the operator of the transactionhandler (103). In one embodiment, the SKU information may be provided tothe operator of the transaction handler (103) in connection with aloyalty program, as described in more detail below. The SKU informationmay be stored as part of the transaction data (109) and associated withthe user (101). In one embodiment, the SKU information for itemspurchased in transactions facilitated by the operator of the transactionhandler (103) may be stored as transaction data (109) and associatedwith its associated purchaser.

In one embodiment, the SKU level purchase details are requested from themerchants or retailers via authorization responses (e.g., as illustratedin FIG. 9), when the account (146) of the user (101) is enrolled in aprogram that allows the transaction handler (103) (and/or the issuerprocessor (145)) to collect the purchase details.

In one embodiment, based on the SKU information and perhaps othertransaction data, the profile generator (121) may create an SKU-leveltransaction profile for the user (101). In one embodiment, based on theSKU information associated with the transactions for each personentering into transactions with the operator of the transaction handler(103), the profile generator (121) may create an SKU-level transactionprofile for each person.

In one embodiment, the SKU information associated with a group ofpurchasers may be aggregated to create an SKU-level transaction profilethat is descriptive of the group. The group may be defined based on oneor a variety of considerations. For example, the group may be defined bycommon demographic features of its members. As another example, thegroup may be defined by common purchasing patters of its members.

In one embodiment, the user (101) may later consider the purchase ofadditional goods and services. The user (101) may shop at a traditionalretailer or an online retailer. With respect to an online retailer, forexample, the user (101) may browse the website of an online retailer,publisher, or merchant. The user (101) may be associated with a browsercookie to, for example, identify the user (101) and track the browsingbehavior of the user (101).

In one embodiment, the retailer may provide the browser cookieassociated with the user (101) to the operator of the transactionhandler (103). Based on the browser cookie, the operator of thetransaction handler (103) may associate the browser cookie with apersonal account number of the user (101). The association may beperformed by the operator of the transaction handler (103) or anotherentity in a variety of manners such as, for example, using a look uptable.

Based on the personal account number, the profile selector (129) mayselect a user specific profile (131) that constitutes the SKU-levelprofile associated specifically with the user (101). The SKU-levelprofile may reflect the individual, prior purchases of the user (101)specifically, and/or the types of goods and services that the user (101)has purchased.

The SKU-level profile for the user (101) may also includeidentifications of goods and services the user (101) may purchase in thefuture. In one embodiment, the identifications may be used for theselection of advertisements for goods and services that may be ofinterest to the user (101). In one embodiment, the identifications forthe user (101) may be based on the SKU-level information associated withhistorical purchases of the user (101). In one embodiment, theidentifications for the user (101) may be additionally or alternativelybased on transaction profiles associated with others. Therecommendations may be determined by predictive association and otheranalytical techniques.

For example, the identifications for the user (101) may be based on thetransaction profile of another person. The profile selector (129) mayapply predetermined criteria to identify another person who, to apredetermined degree, is deemed sufficiently similar to the user (101).The identification of the other person may be based on a variety offactors including, for example, demographic similarity and/or purchasingpattern similarity between the user (101) and the other person. As oneexample, the common purchase of identical items or related items by theuser (101) and the other person may result in an association between theuser (101) and the other person, and a resulting determination that theuser (101) and the other person are similar. Once the other person isidentified, the transaction profile constituting the SKU-level profilefor the other person may be analyzed. Through predictive association andother modeling and analytical techniques, the historical purchasesreflected in the SKU-level profile for the other person may be employedto predict the future purchases of the user (101).

As another example, the identifications of the user (101) may be basedon the transaction profiles of a group of persons. The profile selector(129) may apply predetermined criteria to identify a multitude ofpersons who, to a predetermined degree, are deemed sufficiently similarto the user (101). The identification of the other persons may be basedon a variety of factors including, for example, demographic similarityand/or purchasing pattern similarity between the user (101) and theother persons. Once the group constituting the other persons isidentified, the transaction profile constituting the SKU-level profilefor the group may be analyzed. Through predictive association and othermodeling and analytical techniques, the historical purchases reflectedin the SKU-level profile for the group may be employed to predict thefuture purchases of the user (101).

The SKU-level profile of the user (101) may be provided to select anadvertisement that is appropriately targeted. Because the SKU-levelprofile of the user (101) may include identifications of the goods andservices that the user (101) may be likely to buy, advertisementscorresponding to the identified goods and services may be presented tothe user (101). In this way, targeted advertising for the user (101) maybe optimized. Further, advertisers and publishers of advertisements mayimprove their return on investment, and may improve their ability tocross-sell goods and services.

In one embodiment, SKU-level profiles of others who are identified to besimilar to the user (101) may be used to identify a user (101) who mayexhibit a high propensity to purchase goods and services. For example,if the SKU-level profiles of others reflect a quantity or frequency ofpurchase that is determined to satisfy a threshold, then the user (101)may also be classified or predicted to exhibit a high propensity topurchase. Accordingly, the type and frequency of advertisements thataccount for such propensity may be appropriately tailored for the user(101).

In one embodiment, the SKU-level profile of the user (101) may reflecttransactions with a particular merchant or merchants. The SKU-levelprofile of the user (101) may be provided to a business that isconsidered a peer with or similar to the particular merchant ormerchants. For example, a merchant may be considered a peer of thebusiness because the merchant offers goods and services that are similarto or related to those of the business. The SKU-level profile reflectingtransactions with peer merchants may be used by the business to betterpredict the purchasing behavior of the user (101) and to optimize thepresentation of targeted advertisements to the user (101).

Details on SKU-level profile in one embodiment are provided in U.S.patent application Ser. No. 12/899,144, filed Oct. 6, 2010 and entitled“Systems and Methods for Advertising Services Based on an SKU-LevelProfile,” the disclosure of which is hereby incorporated herein byreference.

Media Optimization

In one embodiment, the transaction handler (103) is to use thetransaction data (109) to develop intelligence information to improvethe accuracy of media profiles.

In one embodiment, a media profile provides information on thepreference of the consumers of a media channel. For examples, it may bedetermined that consumers of a first media channel are much more likelyto be do-it-yourself types than consumers of a second media channel; andthus, if costs are comparable, the media time on the first media channelis a better media buy for advertisements related to do-it-yourselfrelated products. In one embodiment, the profile information onavailable media options allows the advertisers to better select theadvertisement vehicles to obtain the greatest number of high-propensityprospects for each advertisement dollar spent.

For example, in one embodiment, a media controller (115) is to provideadvertisers with media time on a media channel, such as video screens ata gas station. For example, a plurality of video screens may bepositioned at a plurality of gas pumps respectively, such that when theuser (101) is adding gas at the pump, the video screen at the pump showsmedia content to the user (101). The media controller (115) may not haveinformation about the individual consumer of the media channel at thetime the advertisement is presented, or may not want to target the mediacontent to the user (101) individually. In one embodiment, the mediacontroller (115) randomly presents advertisements on a media channel,such as the video screens at the gas station, from different categoriesbased on a predetermined ratio. For example, the advertisements for afirst advertiser and a second advertiser may be each provided with 50%of the media time available on the media channel.

In one embodiment, the profile generator (121) uses the transaction data(109) recorded by the transaction handler (103) to generate a spendingdistribution of the consumers of the media channel to assist the mediacontroller (115) to optimize the ratio for media presentation. Thespending distribution is based on the purchase data of the consumers ofthe media channel. For example, the transaction data (109) of the userswho made purchases at a location near the media channel, such as thosewho made purchases at the gas station, can be aggregated to determinethe spending distribution of the users across a plurality of areasrelated to the types of media content presented by the media controller(115).

In one embodiment, the profile generator (121) selects a sample of usersto represent the population of the consumers of the media channel, suchas consumers at a point of interaction (107). In one embodiment, some ofthe consumers may not make a purchase at the merchant collocated withthe media channel, or may not use the transaction handler (103) to makethe payment for the purchase at the merchant. For example, a consumermay use cash to purchase gas at the gas station. In one embodiment, theprofile generator (121) is to select a large enough sample to representthe majority of total consumers of the media channel, such as theviewers of the video screens at the gas station.

In one embodiment, to optimize the advertising result, the profilegenerator (121) is to select the sample of users who frequently use themedia channel, such as those who purchase gas at the gas stationfrequently.

In one embodiment, an aggregated spending profile (341), as shown inFIG. 2, is generated for the sample of users by aggregating the spendingacross the entire set of users. The spending profile (341) is toindicate the spending pattern of the users across purchase areas, suchas spending frequency ratios in different purchase categories, spendingamount ratios in different purchase categories, etc.

In one embodiment, the ratio for media presentation is optimized basedon the spending pattern. For example, when the spending patternindicates that the users who made purchases with the merchant (and thusthe consumers of the media channel collocated with the merchant) spentmore in an area related to a first advertiser, the proportion of themedia time for the first advertiser can be increased. For example, whenthe spending pattern indicates that the users who made purchases withthe merchant (and thus the consumers of the media channel collocatedwith the merchant) spent less in an area related to a second advertiser,the proportion of the media time allocated to the second advertiser canbe decreased. In one embodiment, the proportions of the media time fordifferent advertisements (or advertisements of different categories) areallocated/scheduled based on the spending ratio of the correspondingareas.

In one embodiment, the media controller (115) provides the mediacontents to points of interactions (107) at different locations (e.g.,video screens at different gas stations). Thus, the media controller(115) uses the spending distributions of users at the differentlocations to schedule media presentation. The media controller (115) canbalance the media presentation ratios at different locations to satisfythe presentation requirements and to optimize the results. For example,the media controller (115) may increase the number of presentations of afirst advertisement at a first gas station where the users are morelikely to be interested in the first advertisement; and the mediacontroller (115) may decrease the number of presentations of the firstadvertisement at a second gas station where the users are less likely tobe interested in the first advertisement.

In one embodiment, to study the effect of the adjusted mediapresentation ratio, the spending profiles of the media channels are usedto select surrogate channels that have similar user purchase patternswhen the same media presentation ratio is used. For example, a surrogategas station is to be selected for a first gas station when the samemedia presentation ratio used in both gas stations has led to the sameor similar aggregate spending profiles for the users purchasing at thegas stations. The selection of the surrogate media channel may useadditional criteria, such as the demographics, the distance between thegas stations, etc.

In one embodiment, the media presentation ratio in the surrogate gasstation is to remain unchanged, after the change in the mediapresentation ratio at the first gas station is adjusted. The changes inconsumer behavior in the difference between the surrogate gas stationand the first gas station can be viewed as the result of the change inthe media presentation ratio. Thus, by comparing the changes in consumerbehavior using the surrogate media channel, the effect of the change inthe media ratio can be isolated and identified. Changes due to otherinfluences, such as socio-economic conditions, advertisements in massmedia, etc. can be identified. For example, the viewers of theadvertisements at the gas stations are directed to different locationsof a merchant. The sales volume of merchants at both locations can bemonitored. The changes in sales volume at the surrogate gas station canbe viewed as a baseline caused by other conditions; and the changes insales volume at the gas station where the media mix is adjusted can becompared to the baseline to identify the change due to the adjustment tothe media mix.

In one embodiment, by monitoring the changes caused by the adjustment tothe media mix, optimizations can be performed to improve overalladvertisement effectiveness.

Thus, through the customization of the media presentation ratios atvarious media channels under the control of the media controller (115),the users or customers can get more relevant messages, even though theadvertisements are not individually customized based on the spendingbehavior of the individual users or customers. The merchants of theadvertisements can get improved sales performance from theadvertisements. The issuer processors (e.g., 145) and/or the transactionhandler (103) may get incremental card volume. The media controller(115) can command higher prices for its media opportunities due toimproved effectiveness of the advertisements, and thus is willing to paythe profile generator (121) for the transaction data (109) (or to enterinto an incremental revenue sharing arrangement).

FIG. 9 shows a system to provide a spending profile to optimize mediapresentations according to one embodiment. In FIG. 9, the mediacontroller (115) is to provide media contents (203, . . . , 205) toconsumers (e.g., 101) at the point of interaction (107). The profilegenerator (121) is to generate an aggregated spending profile (207) toallow the media controller (115) to optimize the presentation mix of themedia contents (203, . . . , 205).

In one embodiment, the profile (207) is based on aggregating thespending of a set of users, instead of a single user (101). The user setis identified based on transaction data (109) for transactions at thetransaction terminal (105) of the merchant (201) collocated with, or inthe vicinity of, the point of interaction (107). The user set representsthe typical users or majority of the users that are exposed to the mediacontent (203, . . . , 205) provided on the point of interaction (107).Details of the point of interaction (107) in one embodiment are providedin the section entitled “POINT OF INTERACTION.”

In one embodiment, the profile (207) is based on aggregating thespending of the user set for purchases from different merchants, whichmay not include the merchant (201). In one embodiment, the merchants areselected based on relevancy to the media contents (203, . . . , 205);and the purchases of the user set from the selected merchants areanalyzed to obtain aggregated spending patterns. For example, in oneembodiment, the factor analysis (327) and cluster analysis (329) areused generate the profile (207). Details on the generation of anaggregated spending profile in one embodiment are provided in thesection entitled “AGGREGATED SPENDING PROFILE.”

In one embodiment, the profile (207) is based on high-level purchasetrends, rather than merchant-specific purchase behavior. In oneembodiment, the profile (207) shows spending distribution acrossmerchant categories (e.g., 346), or factors (344) identified from factoranalysis (327). In one embodiment, the profile (207) shows spendingpatterns based on the identification of clusters (343) to which the userset belongs and/or the distances from the user set to the clusters.

In one embodiment, the profile (207) is used by the media controller(115) to determine the overall mix of the media contents (203, . . . ,205), rather than to direct specific advertisements to specific users.The profile (207) is used to target the users of the point ofinteraction (107) as a whole.

In one embodiment, the user set may be selected according to certainaspects of the purchases made at the transaction terminal (105). Forexample, in one embodiment, the user set is selected based on a timeslot during which the transactions are made at the transaction terminal(105). Different user sets can be selected to develop different profiles(207) for different time slots for the presentation of contents (203, .. . , 205) on the point of interaction (107).

In one embodiment, the media contents (203, . . . , 205) includeadvertisements for different merchants, or for merchants of differentcategories. Through the use of the profile (207), the media controller(115) can maximize the effectiveness of the media presentations; andadvertisements can be delivered in a way to increase the likelihood ofreaching audiences with the highest propensity to purchase theadvertised products or services.

FIG. 10 shows a method to customize media presentations according to oneembodiment. In FIG. 10, a computing apparatus is to identify (211) a setof users who have made purchases from a merchant, aggregate (213) thepurchases made by the users in a plurality of areas to determine aspending profile (207) of the set of users, determine (215) apresentation ratio for media contents based on the spending profile(207), and present (217) the media contents to customers of the merchantin accordance with the ratio.

In one embodiment, the computing apparatus includes at least one of: aprofile generator (121), a media controller (115), a point ofinteraction (107), and a data warehouse (149).

In one embodiment, the set of users are identified based on transactionsmade with a plurality of merchants near the point of interaction (107),such as retail stores near an electronic billboard or kiosk.

Further details and examples on scheduling media content ratio based onthe spending profile (207) of a set of users in one embodiment areprovided in U.S. patent application Ser. No. 13/171,282, filed Jun. 28,2011 and entitled “Systems and Methods to Optimize Media Presentations,”the disclosure of which is incorporated herein by reference.

Camera

In one embodiment, the transaction handler (103) is configured to useinformation generated from a camera and the transaction data (109) todevelop spending intelligence information and to improve the accuracy ofspending profiles for the audience of a media channel, such as a digitalsign, an electronic kiosk, a billboard, etc.

In one embodiment, a camera associated with the media channel isconfigured to capture the images of users (101) who pay attention to themedia channel. The images are analyzed to determine the characteristicsof the users (101) who pay attention to the media channel.

In general, the characteristics of the users (101) who pay attention tothe media channel may not agree with the characteristics of the users(101) who make payments at a location near the media channel usingconsumer accounts (146) processed via the transaction handler (103). Inone embodiment, the raw transaction data (109) of the users (101) whomake payments using the consumer accounts (146) processed via thetransaction handler (103) is weighted, prioritized, filtered and/oradjusted to identify/generate data about transactions according to thecharacteristics of the users (101) who pay attention to the mediachannel. Thus, the identified/generated data about transactions reflectsthe overall spending patterns of the users (101) who pay attention tothe media channel and who make payment at the location near the mediachannel. In one embodiment, a spending profile of theidentified/generated data about transactions is generated to assist inthe selection, prioritization and/or customization of the media contentprovided in the media channel.

FIG. 11 shows a system to use a camera to improve media presentationaccording to one embodiment. In FIG. 11, the point of interaction (107),such as a digital sign, an electronic kiosk, a billboard, etc., isconfigured to have a camera (221) to capture the images of the audienceof the content presented on the point of interaction (107).

In one embodiment, the camera (221) is integrated with the point ofinteraction (107). In another embodiment, the camera (221) is separatefrom the point of interaction (107) and is mounted near or on the pointof interaction (107).

In one embodiment, the user tracker (113) is connected to the camera(221) of the point of interaction (107) to process the images from thecamera (221). In one embodiment, the user tracker (113) performs facialrecognition to generate user data (125) about the users (e.g., 101)interacting with the point of interaction (107). For example, in oneembodiment, the user tracker (113) is to assign an identifier to arecognized face to represent the corresponding user (e.g., 101), totrack the duration of time the user (e.g., 101) interacts with the pointof interaction (107), and/or to associate the user (e.g., 101) with thecontent presented to the user (e.g., 101). In one embodiment, the usertracker (113) is configured to determine the characteristics of the user(e.g., 101) based on the images captured by the camera (221). Examplesof the characteristics include gender, age group, etc.

In one embodiment, the user tracker (113) is configured to provide theuser data (125) to the portal (143) to request a spending profile (207)appropriate for the audience of the point of interaction (107). In oneembodiment, the spending profile (207) is used in the media controller(115) to customize the media presentation on the point of interaction(107).

For example, in one embodiment, the user data (125) includes the genderratio for the audience of the point of interaction (107). The accountdata (111) of the consumer accounts (146) that have been used to maketransactions initiated on the transaction terminal (201) near the pointof interaction (107) includes gender information of users (101) of therespective account identification devices (141). Using the genderinformation in the respective account data (111), the transaction data(109) of the users (101) of the respective account identificationdevices (141) are sampled, in one embodiment, according to the genderratio for the audience of the point of interaction (107) to generate asample of transaction data (109) for the generation of the spendingprofile (207). In one embodiment, the transaction data (109) is sampledby selecting a sample of consumer accounts (146); and the transactionrecords in the selected consumer accounts (146) are collected to formthe sample of transaction data (109).

For example, in one embodiment, the user data (125) includes the ageratio for the audience of the point of interaction (107). Based on thefacial images captured by the camera (221), the ratio of different agegroups in the audience is identified. In one embodiment, the age ratiois used to sample the transaction data (109) using the age informationin the account data (111).

In one embodiment, the user data (125) transmitted from the user tracker(113) to the portal (143) includes the images captured by the camera(221); and the portal (143) and/or a computing device coupled with theportal (143) is configured to perform facial recognition and/or extractthe gender and/or age information from the images received from the usertracker (113).

In one embodiment, the images captured by the camera (221) are used toidentify the characteristics of the audience as a group. Thus, it is notnecessary to individually identify a particular user (101) based on thefacial image captured by the camera (221).

For example, in one embodiment, based on the interest of the audience,as reflected in or determined via the spending profile (207), the mediacontroller (115) is configured to schedule the presentation ratio ofcontent A (203), . . . , content X (205). The presentation ratio may bebased on the duration of the presentation and/or the number of times thepresentations are made. In one embodiment, the camera (221) isconfigured on the point of interaction (107) to capture the front imageof the face of the media consumer, when the media consumer is facing thepoint of interaction (107). The user tracker (113) is configured todetermine whether a person captured by the camera (221) is payingattention to the media content on the point of interaction (107) basedon the direction of the face of the person as captured by the camera,and the duration of time the person faces the point of interaction(107).

In one embodiment, the media controller (115) is configured to select acontent from the available contents (e.g., 203, . . . , 205) to targetthe current audience of the point of interaction (107) based on theprofile (207).

In one embodiment, the characteristics of the current viewers in frontof the point of interaction (107) are used to request the profile (207)specific for the current viewers and thus optimize the mediapresentation for the current viewers.

When the media consumer is individually identified, the mediapresentation can be personalized based on the aggregated spendingprofile of the media consumer. When the media consumer is notindividually identified, characteristics of media consumers within atime period are identified to generate an aggregated spending profilefor the media consumers as a group; and the aggregated spending profileis used to arrange media content for the group based on the time period.

In one embodiment, different media consumers are identified based on thecharacteristics determined from the images captured by the camera (221).For example, when the images captured by the camera (221) are used todetermine attributes, such as age group, gender, etc., the mediaconsumers can be classified into different media consumer groups basedon the attributes; and aggregated spending profiles are generated foreach of the media consumer groups, based on the transactions of accountholders, or users of the account identification devices (141), who havemade transactions at the transaction terminal (105) and have the sameattributes.

In FIG. 11, the point of interaction (107) is positioned at a locationin or near a retail store of a merchant (201) (or a shopping mall, acommercial district, etc.) At least one transaction terminal (105) isused in the processing of the payment transactions of the customers ofthe retail store (or shopping mall, commercial district, etc.). Thetransaction handler (103) is configured to receive the transactionrequests from the transaction terminal (105), process the transactionrequests and record the transactions to generate the transaction data(109) in the data warehouse (149).

In one embodiment, the profile generator (121) is to use the user data(125) to customize the profile (207) for the audience of the point ofinteraction (107).

For example, in one embodiment, the user data (125) includes thestatistical data about the audience of the point of interaction (107);and the profile generator (121) is to use the user data (125) toidentify the predominate characteristics (e.g., gender, age group) ofthe audience, select a set of accounts based on the predominatecharacteristics, and generate an aggregated spending profile (e.g., 341)for the selected set of accounts that have made transactions at thetransaction terminal (105) near the point of interaction (107). Such anaggregated spending profile (e.g., 341) represents the spending behaviorof the predominate section of the audience.

In one embodiment, the profile generator (121) is to use the user data(125) to identify the ratios of the characteristics (e.g., gender, agegroup) of the audience, and use the ratios to apply weights to theaccounts having the respective characteristics in generating anaggregated spending profile (e.g., 341) for the accounts that have madetransactions at the transaction terminal (105) near the point ofinteraction (107). For example, in one embodiment, in aggregating thespending amounts, the profile generator (121) may apply weights to theaccounts according to the ratios of the characteristics identified fromthe images captured by the camera (221). For example, when a first agegroup has a higher ratio than other groups, the spending of accountholders in the first age group is assigned a higher weight than thespending of account holders in the other groups. Such an aggregatedspending profile (e.g., 341) represents the spending behavior of theaudience weighted according to their interaction with the point ofinteraction (107).

In one embodiment, the profile generator (121) is configured to use theuser data (125) to identify the characteristics (e.g., gender, agegroup) of the current audience, use the characteristics to identify aset of one or more accounts that have the same characteristics, andgenerate an aggregated spending profile (e.g., 341) for the identifiedset of accounts that have made transactions at the transaction terminal(105) near the point of interaction (107). Such an aggregated spendingprofile (e.g., 341) represents the spending behavior of typical users(e.g., 101) who have shopped at the retail location and who have thesame characteristics as the current audience.

In one embodiment, the profile generator (121) is configured to furtherapply additional requirements in selecting the accounts. For example, inone embodiment of the generation of the profile (207), the profilegenerator (121) is configured to exclude the accounts that have not beenused recently to purchase from the merchant (201) (e.g., within a year,six months, or a month). For example, in one embodiment of thegeneration of the profile (207), the profile generator (121) is toexclude the accounts that have spent less than a threshold amount withina period of time (e.g., within a year, six months) at the retaillocation. For example, in one embodiment of the generation of theprofile (207), the profile generator (121) is to exclude the accountsthat have made transactions less than a threshold number of times withina period of time (e.g., within a year) at the retail location.

In one embodiment, the camera (221) is used to determine the identity ofthe current user (101) currently interacting with the point ofinteraction (107) and to select a user specific profile (131) as theprofile (207) to control the media controller (115). For example, in oneembodiment, face recognition is used to identify a specific accountholder and thus a specific account corresponding to the user specificprofile (131).

In one embodiment, when the facial recognition is accurate enough toidentify the identity of the current media consumer (e.g., user (101))of the point of interaction (107), the aggregated spending profile(e.g., 341) for the current media consumer (e.g., user (101)) isretrieved from the data warehouse (149) to personalize, adjust,prioritize, or target media contents for the current media consumer(e.g., user (101)).

In one embodiment, to improve the accuracy in sampling the accounts, afurther camera (223) is configured at the transaction terminal (105) tocapture the facial image of the user (101) using the accountidentification device (141) to make a payment via the consumer account(146), as illustrated in FIG. 12. The facial images captured by thecamera (223) at the transaction terminal (105) and the facial imagescaptured by the camera (221) at the point of interaction (107) during apredetermined time period are correlated to identify users (101) whopaid attention to the content on the point of interaction (107) and whomade a payment at the transaction terminal (105) using the consumeraccounts (146). Thus, the media consumption data of the user (101) canbe linked to the consumer account (146) of the user. For example, themedia consumption data includes the category of the media content thatattracted the attention of the user (101), and/or the duration of theattention the user (101) paid to the media content (e.g., as determinedby the duration of the time the user faced the point of interaction(107), determined from the facial images captured by the camera (221)).

When the media consumption data is linked to the individual consumeraccount (146), more accurate spending profiles (207) can be generatedfor the current users (101) who are receiving the media content at thepoint of interaction (107).

FIG. 12 shows a system to use a camera to improve advertisementpresentation according to one embodiment. In FIG. 12, the user tracker(113) is also connected to the camera (223) located at the transactionterminal (105). The user tracker (113) is to perform face recognitionand/or correlation for the faces captured by the camera (223) at thetransaction terminal (105) and the faces captured by the camera (221) atthe digital sign (225).

In one embodiment, the user data (125) includes the identification ofthe transaction terminal (105), and the date and time of the transactionof a user whose face is recognized via the camera (223) at thetransaction terminal (105) and matched to a face captured via the camera(221) at the point of interaction (107), such as the digital sign (225).Based on the user data (125), the profile generator (121) (or the portal(143), or correlator (117)) identifies the consumer account (146) thathas made the transaction at the transaction terminal (105) at thecorresponding date and time. Thus, the recognized face is correlated toa specific consumer account (146). When such an approach is used, thefacial recognition technique used in the system does not have to beaccurate enough to be uniquely identify a user (101) of the consumeraccount (146) from a multiplicity of users. A facialrecognition/correlation technique accurate enough to correlate a facialimage captured by the camera (221) near the digital sign (225) with oneof a plurality of facial images captured by the camera (223) near thetransaction terminal (105), within a predetermined period of time (e.g.,30 minutes, one hour, half a day), will be sufficient to correlate theactivity of the viewer with the consumer account (146).

In one embodiment, a set of accounts identified via matching facesrecognized from the cameras (221 and 223) is used to generate anaggregated spending profile (341) to characterize the spending behaviorof the users (e.g., 101) who have viewed the content presented on thedigital sign (225) and who have made payment transactions via thetransaction terminal (105). The aggregated spending profile (341) isprovided as the profile (207) to control the advertisement selector(133), which is configured to target the advertisement data (135) to theaudience of the digital sign (225).

In one embodiment, the data warehouse (149) stores data mapping theidentifiers of the recognized faces to the accounts. Thus, when the usertracker (113) subsequently detects a previously recognized face from thecamera (221) at the digital sign (225), the user tracker (113) can usethe identifier of the recognized face to request a user specific profile(131), used as the profile (207) to control the advertisement selector(133).

In one embodiment, the data warehouse (149) is to store datarepresenting the facial image data of the account holders, such asfacial image data generated based on the camera (223) attached to thetransaction terminal (105). The portal (143) is to receive the facialimage data from the camera (223), identify the person captured by thecamera (221) at the digital sign (225) via matching the facial imagedata, and provide the profile (207) based on the matched accounts. Forexample, in one embodiment, when multiple accounts are matched to a facewith different probabilities, the profile generator (121) is to generatean aggregated spending profile (e.g. 341) based on the multipleaccounts, weighted according to respective probabilities of a match inthe facial image data. Thus, when the accuracy of the facial recognitionis improved, the accuracy of the spending pattern reflected in theprofile (207) is also improved.

In one embodiment, the data warehouse (149) is to store the facialimages. In another embodiment, the data warehouse (149) is to store aset of measurements used for facial recognition and/or matching, withoutstoring the entire facial image.

FIG. 13 shows a method to use a camera to arrange content presentationaccording to one embodiment. In one embodiment, a computing apparatus isto capture (251) images of viewers of a point of interaction (107), suchas a digital sign (225), identify (253) characteristics of the viewers(e.g., gender and/or age) based on the images (e.g., via facerecognition), identify (255) a subset of customers who have made paymenttransactions at a retail location (e.g., via the transaction terminal(105)) near the digital sign (225), determine (257) an aggregatedspending profile (341) based on transaction data (109) recording thetransactions of the subset of customers, and arrange (259) content onthe digital sign (225) based on the aggregated spending profile (341),such as selecting advertisements to target the subset of customers.

FIG. 14 shows a method to generate an aggregated spending profileaccording to one embodiment. In FIG. 14, the computing apparatus isconfigured to obtain (261) data that identifies a set of characteristicsof a plurality of customers, determined based on images captured by adigital camera (221) attached to a point of interaction (107) locatednear one or more transaction terminals (105). The computing apparatus isfurther configured to select (263) users (101) who have made paymenttransactions at the one or more transaction terminals (105) within apredetermined period of time from the time(s) of the capturing of theimages by the digital camera (221), combine (265) transaction records(301) in accounts (146) of the users (101) according to the set ofcharacteristics, determine (267) an aggregated spending profile (341)based on the combined set of transaction records (301), and provide(269) the aggregated spending profile (341) to a media controller (115)to control content presentation on the point of interaction (107), suchas a digital sign (225), an electronic kiosk, a billboard, etc.

In one embodiment, the transaction records (301) are combined viaproviding weights for the transactions records (301) of accounts inaccordance with the set of characteristics in aggregating thetransactions.

For example, in one embodiment, when accounts (146) held by users (101)of different gender who have made payment transactions at thetransaction terminal (105) have a ratio that is different from the ratioof viewers of different gender who have paid attention to the digitalsign (225), the accounts held by users (101) of different genders aregiven different weights to allow a weighted count of the accounts tohave a ratio matching the ratio of viewers.

For example, in one embodiment, when the ratio of transactions made byusers (101) of different age groups, as identified by the accountidentification devices (141) used in the payment transactions, isdifferent from the respective ratio of viewers paying attention to thepoint of interaction (107), a set of weights are applied to thetransactions according to the age group to allow the weighted counts ofthe transactions to have a ratio matching the respective ratio ofviewers.

In one embodiment, different sets of weights are individually assignedaccording to different characteristics; and different sets of weightsare combined via multiplication to generate a combined set of weightsfor aggregating the transactions.

In one embodiment, the transaction records (301) are combined viasampling according to the set of characteristics used in aggregating thetransactions.

For example, in one embodiment, the accounts held by users of differentgenders who have made the transactions at the transaction terminal (105)are sampled according to the ratio of viewers of different genders whohave watched the digital sign (225).

For example, in one embodiment, the accounts held by users of differentage groups who have made the transactions at the transaction terminal(105) are sampled according to the ratio of viewers of different agegroups who have watched the digital sign (225).

In one embodiment, the accounts are sampled sequentially according todifferent characteristics to form a final sample. For example, theaccounts of users who have made the transactions at the transactionterminal (105) are first sampled according to the gender ratio togenerate a first sampled set of accounts, which is then further sampledaccording to a distribution of age group to obtain a second sampled setof accounts (which may be further sampled according to othercharacteristics of the viewers of the digital sign (225), such as theethnic groups ratio).

FIG. 15 shows a method to determine characteristics of a group ofpersons according to one embodiment. In FIG. 15, the computing apparatusis configured to receive (271) images captured by a digital camera (221)attached to a point of interaction (107) located near one or moretransaction terminals (105), perform (273) facial recognition todetermine orientations of faces captured in the images, determine (275)whether a person is paying attention to the point of interaction (107)based on the determined orientations of the faces captured in theimages, identify (277) one or more attribute of the person if the personis paying attention to the point of interaction (107), and determine(279) characteristics of persons who paid attention to the point ofinteraction (107) based on the identified attributes. Examples of theattributes include the classification results according to gender, agegroup, ethnic group, and/or other demographics parameters that can beidentified via the images captured by the camera (221).

In one embodiment, for a person who is determined to be paying attentionto the media content delivered on the point of interaction (107) (e.g.,the digital sign (225)), the computing apparatus is further configuredto collect data associated with the media content consumption by theperson. Examples of the media consumption data include the type of mediacontent that is consumed by the person, the duration of the attentionpaid to the point of interaction (107), etc.

In one embodiment, the person consuming the media content is linked tothe user (101) using the account identification device (141) at thetransaction terminal (105), and a computing device is configured tostore data to associate the media content consumption data with theconsumer account (146) and/or the purchase paid for via the consumeraccount (146).

FIG. 16 shows a method to associate media consumption activities withpayment transactions according to one embodiment. In FIG. 16, acomputing apparatus is configured to receive (281) a first facial imagecaptured by a first digital camera (221) attached to a point ofinteraction (107) located in the vicinity of a transaction terminal(105) (e.g., inside the store of the merchant (201), near the entranceto the store of the merchant (201), or in the shopping mall in which themerchant (201) is located), receive (283) a second facial image capturedby a second digital camera (223) attached to the transaction terminal(105), and perform (285) facial recognition to match the first facialimage with the second facial image. If it is determined (287) there is amatch between the first facial image and the second facial image, thecomputing apparatus is configured to store (289) data to associate mediaconsumption activities of a person, from whom the first facial image istake at the point of interaction (107), with a transaction performed onthe transaction terminal (105) during which the second facial image iscaptured.

In one embodiment, matching is performed for candidate facial imagescaptured by the second digital camera (223) within a predetermined timeperiod of the capture of the first facial image by the first digitalcamera (221). In one embodiment, the capture of the second facial imagemay occur prior to the capture of the first facial image, or after thecapture of the first facial image.

In one embodiment, the transactions of the accounts having the matchedfacial images are selected to generate the aggregated spending profile(341) for the point of interaction (107).

In one embodiment, the computing apparatus is configured to furthercapture images of the customers who have made payment transactions atthe retail location through the transaction handler (103), using adigital camera (223) attached to a point of sale (POS) station at theretail location, such as the transaction terminal (105), and correlatethe images from the cameras (221, 223) to identify the a subset ofcustomers based on face recognition.

In one embodiment, the computing apparatus system includes at least oneof: the camera (221) at the point of interaction (107) (e.g., a digitalsign (225), an electronic kiosk), the camera (223) at the transactionterminal (105), the portal (143), the profile generator (121) togenerate the aggregated spending profile (341), the transaction handler(103), the data warehouse (149) to store the transaction data (109)generated by the transaction handler (103), the media controller (115),the advertisement selector (133) configured to use the aggregatedspending profile (341) to arrange advertisements presented on the pointof interaction (107), and the user tracker (113) to capture the facialimages using the digital cameras (e.g., 221 and 223) and/or to identifythe characteristics of the media consumers.

In one embodiment, the portal (143) is configure to receive the userdata (125) and determine the characteristics of the media consumers.

Details about the system in one embodiment are provided in the sectionentitled “SYSTEM,” “CENTRALIZED DATA WAREHOUSE” and “HARDWARE.”

Variations

Some embodiments use more or fewer components than those illustrated inFIGS. 1 and 4-7. For example, in one embodiment, the user specificprofile (131) is used by a search engine to prioritize search results.In one embodiment, the correlator (117) is to correlate transactionswith online activities, such as searching, web browsing, and socialnetworking, instead of or in addition to the user specific advertisementdata (119). In one embodiment, the correlator (117) is to correlatetransactions and/or spending patterns with news announcements, marketchanges, events, natural disasters, etc. In one embodiment, the data tobe correlated by the correlator with the transaction data (109) may notbe personalized via the user specific profile (131) and may not be userspecific. In one embodiment, multiple different devices are used at thepoint of interaction (107) for interaction with the user (101); and someof the devices may not be capable of receiving input from the user(101). In one embodiment, there are transaction terminals (105) toinitiate transactions for a plurality of users (101) with a plurality ofdifferent merchants. In one embodiment, the account information (142) isprovided to the transaction terminal (105) directly (e.g., via phone orInternet) without the use of the account identification device (141).

In one embodiment, at least some of the profile generator (121),correlator (117), profile selector (129), and advertisement selector(133) are controlled by the entity that operates the transaction handler(103). In another embodiment, at least some of the profile generator(121), correlator (117), profile selector (129), and advertisementselector (133) are not controlled by the entity that operates thetransaction handler (103).

For example, in one embodiment, the entity operating the transactionhandler (103) provides the intelligence (e.g., transaction profiles(127) or the user specific profile (131)) for the selection of theadvertisement; and a third party (e.g., a web search engine, apublisher, or a retailer) may present the advertisement in a contextoutside a transaction involving the transaction handler (103) before theadvertisement results in a purchase.

For example, in one embodiment, the customer may interact with the thirdparty at the point of interaction (107); and the entity controlling thetransaction handler (103) may allow the third party to query forintelligence information (e.g., transaction profiles (127), or the userspecific profile (131)) about the customer using the user data (125),thus informing the third party of the intelligence information fortargeting the advertisements, which can be more useful, effective andcompelling to the user (101). For example, the entity operating thetransaction handler (103) may provide the intelligence informationwithout generating, identifying or selecting advertisements; and thethird party receiving the intelligence information may identify, selectand/or present advertisements.

Through the use of the transaction data (109), account data (111),correlation results (123), the context at the point of interaction,and/or other data, relevant and compelling messages or advertisementscan be selected for the customer at the points of interaction (e.g.,107) for targeted advertising. The messages or advertisements are thusdelivered at the optimal time for influencing or reinforcing brandperceptions and revenue-generating behavior. The customers receive theadvertisements in the media channels that they like and/or use mostfrequently.

In one embodiment, the transaction data (109) includes transactionamounts, the identities of the payees (e.g., merchants), and the dateand time of the transactions. The identities of the payees can becorrelated to the businesses, services, products and/or locations of thepayees. For example, the transaction handler (103) maintains a databaseof merchant data, including the merchant locations, businesses,services, products, etc. Thus, the transaction data (109) can be used todetermine the purchase behavior, pattern, preference, tendency,frequency, trend, budget and/or propensity of the customers in relationto various types of businesses, services and/or products and in relationto time.

In one embodiment, the products and/or services purchased by the user(101) are also identified by the information transmitted from themerchants or service providers. Thus, the transaction data (109) mayinclude identification of the individual products and/or services, whichallows the profile generator (121) to generate transaction profiles(127) with fine granularity or resolution. In one embodiment, thegranularity or resolution may be at a level of distinct products andservices that can be purchased (e.g., stock-keeping unit (SKU) level),or category or type of products or services, or vendor of products orservices, etc.

The profile generator (121) may consolidate transaction data for aperson having multiple accounts to derive intelligence information aboutthe person to generate a profile for the person (e.g., transactionprofiles (127), or the user specific profile (131)).

The profile generator (121) may consolidate transaction data for afamily having multiple accounts held by family members to deriveintelligence information about the family to generate a profile for thefamily (e.g., transaction profiles (127), or the user specific profile(131)).

Similarly, the profile generator (121) may consolidate transaction datafor a group of persons, after the group is identified by certaincharacteristics, such as gender, income level, geographical location orregion, preference, characteristics of past purchases (e.g., merchantcategories, purchase types), cluster, propensity, demographics, socialnetworking characteristics (e.g., relationships, preferences, activitieson social networking websites), etc. The consolidated transaction datacan be used to derive intelligence information about the group togenerate a profile for the group (e.g., transaction profiles (127), orthe user specific profile (131)).

In one embodiment, the profile generator (121) may consolidatetransaction data according to the user data (125) to generate a profilespecific to the user data (125).

Since the transaction data (109) are records and history of pastpurchases, the profile generator (121) can derive intelligenceinformation about a customer using an account, a customer using multipleaccounts, a family, a company, or other groups of customers, about whatthe targeted audience is likely to purchase in the future, howfrequently, and their likely budgets for such future purchases.Intelligence information is useful in selecting the advertisements thatare most useful, effective and compelling to the customer, thusincreasing the efficiency and effectiveness of the advertising process.

In one embodiment, the transaction data (109) are enhanced withcorrelation results (123) correlating past advertisements and purchasesthat result at least in part from the advertisements. Thus, theintelligence information can be more accurate in assisting with theselection of the advertisements. The intelligence information may notonly indicate what the audience is likely to purchase, but also howlikely the audience is to be influenced by advertisements for certainpurchases, and the relative effectiveness of different forms ofadvertisements for the audience. Thus, the advertisement selector (133)can select the advertisements to best use the opportunity to communicatewith the audience. Further, the transaction data (109) can be enhancedvia other data elements, such as program enrollment, affinity programs,redemption of reward points (or other types of offers), onlineactivities, such as web searches and web browsing, social networkinginformation, etc., based on the account data (111) and/or other data,such as non-transactional data discussed in U.S. patent application Ser.No. 12/614,603, filed Nov. 9, 2009 and entitled “Analyzing LocalNon-Transactional Data with Transactional Data in Predictive Models,”the disclosure of which is hereby incorporated herein by reference.

In one embodiment, the entity operating the transaction handler (103)provides the intelligence information in real time as the request forthe intelligence information occurs. In other embodiments, the entityoperating the transaction handler (103) may provide the intelligenceinformation in batch mode. The intelligence information can be deliveredvia online communications (e.g., via an application programminginterface (API) on a website, or other information server), or viaphysical transportation of a computer readable media that stores thedata representing the intelligence information.

In one embodiment, the intelligence information is communicated tovarious entities in the system in a way similar to, and/or in parallelwith the information flow in the transaction system to move money. Thetransaction handler (103) routes the information in the same way itroutes the currency involved in the transactions.

In one embodiment, the portal (143) provides a user interface to allowthe user (101) to select items offered on different merchant websitesand store the selected items in a wish list for comparison, reviewing,purchasing, tracking, etc. The information collected via the wish listcan be used to improve the transaction profiles (127) and deriveintelligence on the needs of the user (101); and targeted advertisementscan be delivered to the user (101) via the wish list user interfaceprovided by the portal (143). Examples of user interface systems tomanage wish lists are provided in U.S. patent application Ser. No.12/683,802, filed Jan. 7, 2010 and entitled “System and Method forManaging Items of Interest Selected from Online Merchants,” thedisclosure of which is hereby incorporated herein by reference.

Aggregated Spending Profile

In one embodiment, the characteristics of transaction patterns ofcustomers are profiled via clusters, factors, and/or categories ofpurchases. The transaction data (109) may include transaction records(301); and in one embodiment, an aggregated spending profile (341) isgenerated from the transaction records (301), in a way illustrated inFIG. 2, to summarize the spending behavior reflected in the transactionrecords (301).

In one embodiment, each of the transaction records (301) is for aparticular transaction processed by the transaction handler (103). Eachof the transaction records (301) provides information about theparticular transaction, such as the account number (302) of the consumeraccount (146) used to pay for the purchase, the date (303) (and/or time)of the transaction, the amount (304) of the transaction, the ID (305) ofthe merchant who receives the payment, the category (306) of themerchant, the channel (307) through which the purchase was made, etc.Examples of channels include online, offline in-store, via phone, etc.In one embodiment, the transaction records (301) may further include afield to identify a type of transaction, such as card-present,card-not-present, etc.

In one embodiment, a “card-present” transaction involves physicallypresenting the account identification device (141), such as a financialtransaction card, to the merchant (e.g., via swiping a credit card at aPOS terminal of a merchant); and a “card-not-present” transactioninvolves presenting the account information (142) of the consumeraccount (146) to the merchant to identify the consumer account (146)without physically presenting the account identification device (141) tothe merchant or the transaction terminal (105).

In one embodiment, certain information about the transaction can belooked up in a separate database based on other information recorded forthe transaction. For example, a database may be used to storeinformation about merchants, such as the geographical locations of themerchants, categories of the merchants, etc. Thus, the correspondingmerchant information related to a transaction can be determined usingthe merchant ID (305) recorded for the transaction.

In one embodiment, the transaction records (301) may further includedetails about the products and/or services involved in the purchase. Forexample, a list of items purchased in the transaction may be recordedtogether with the respective purchase prices of the items and/or therespective quantities of the purchased items. The products and/orservices can be identified via stock-keeping unit (SKU) numbers, orproduct category IDs. The purchase details may be stored in a separatedatabase and be looked up based on an identifier of the transaction.

When there is voluminous data representing the transaction records(301), the spending patterns reflected in the transaction records (301)can be difficult to recognize by an ordinary person.

In one embodiment, the voluminous transaction records (301) aresummarized (335) into aggregated spending profiles (e.g., 341) toconcisely present the statistical spending characteristics reflected inthe transaction records (301). The aggregated spending profile (341)uses values derived from statistical analysis to present the statisticalcharacteristics of transaction records (301) of an entity in a way easyto understand by an ordinary person.

In FIG. 2, the transaction records (301) are summarized (335) via factoranalysis (327) to condense the variables (e.g., 313, 315) and viacluster analysis (329) to segregate entities by spending patterns.

In FIG. 2, a set of variables (e.g., 311, 313, 315) are defined based onthe parameters recorded in the transaction records (301). The variables(e.g., 311, 313, and 315) are defined in a way to have meanings easilyunderstood by an ordinary person. For example, variables (311) measurethe aggregated spending in super categories; variables (313) measure thespending frequencies in various areas; and variables (315) measure thespending amounts in various areas. In one embodiment, each of the areasis identified by a merchant category (306) (e.g., as represented by amerchant category code (MCC), a North American Industry ClassificationSystem (NAICS) code, or a similarly standardized category code). Inother embodiments, an area may be identified by a product category, aSKU number, etc.

In one embodiment, a variable of a same category (e.g., frequency (313)or amount (315)) is defined to be aggregated over a set of mutuallyexclusive areas. A transaction is classified in only one of the mutuallyexclusive areas. For example, in one embodiment, the spending frequencyvariables (313) are defined for a set of mutually exclusive merchants ormerchant categories. Transactions falling with the same category areaggregated.

Examples of the spending frequency variables (313) and spending amountvariables (315) defined for various merchant categories (e.g., 306) inone embodiment are provided in U.S. patent application Ser. No.12/537,566, filed Aug. 7, 2009 and entitled “Cardholder Clusters,” andin Prov. U.S. Pat. App. Ser. No. 61/182,806, filed Jun. 1, 2009 andentitled “Cardholder Clusters,” the disclosures of which applicationsare hereby incorporated herein by reference.

In one embodiment, super categories (311) are defined to group thecategories (e.g., 306) used in transaction records (301). The supercategories (311) can be mutually exclusive. For example, each merchantcategory (306) is classified under only one super merchant category butnot any other super merchant categories. Since the generation of thelist of super categories typically requires deep domain knowledge aboutthe businesses of the merchants in various categories, super categories(311) are not used in one embodiment.

In one embodiment, the aggregation (317) includes the application of thedefinitions (309) for these variables (e.g., 311, 313, and 315) to thetransaction records (301) to generate the variable values (321). Thetransaction records (301) are aggregated to generate aggregatedmeasurements (e.g., variable values (321)) that are not specific to aparticular transaction, such as frequencies of purchases made withdifferent merchants or different groups of merchants, the amounts spentwith different merchants or different groups of merchants, and thenumber of unique purchases across different merchants or differentgroups of merchants, etc. The aggregation (317) can be performed for aparticular time period and for entities at various levels.

In one embodiment, the transaction records (301) are aggregatedaccording to a buying entity. The aggregation (317) can be performed ataccount level, person level, family level, company level, neighborhoodlevel, city level, region level, etc. to analyze the spending patternsacross various areas (e.g., sellers, products or services) for therespective aggregated buying entity. For example, the transactionrecords (301) for a particular account (e.g., presented by the accountnumber (302)) can be aggregated for an account level analysis. Toaggregate the transaction records (301) in account level, thetransactions with a specific merchant or merchants in a specificcategory are counted according to the variable definitions (309) for aparticular account to generate a frequency measure (e.g., 313) for theaccount relative to the specific merchant or merchant category; and thetransaction amounts (e.g., 304) with the specific merchant or thespecific category of merchants are summed for the particular account togenerate an average spending amount for the account relative to thespecific merchant or merchant category. For example, the transactionrecords (301) for a particular person having multiple accounts can beaggregated for a person level analysis, the transaction records (301)aggregated for a particular family for a family level analysis, and thetransaction records (301) for a particular business aggregated for abusiness level analysis.

The aggregation (317) can be performed for a predetermined time period,such as for the transactions occurring in the past month, in the pastthree months, in the past twelve months, etc.

In another embodiment, the transaction records (301) are aggregatedaccording to a selling entity. The spending patterns at the sellingentity across various buyers, products or services can be analyzed. Forexample, the transaction records (301) for a particular merchant havingtransactions with multiple accounts can be aggregated for a merchantlevel analysis. For example, the transaction records (301) for aparticular merchant group can be aggregated for a merchant group levelanalysis.

In one embodiment, the aggregation (317) is formed separately fordifferent types of transactions, such as transactions made online,offline, via phone, and/or “card-present” transactions vs.“card-not-present” transactions, which can be used to identify thespending pattern differences among different types of transactions.

In one embodiment, the variable values (e.g., 323, 324, . . . , 325)associated with an entity ID (322) are considered the random samples ofthe respective variables (e.g., 311, 313, 315), sampled for the instanceof an entity represented by the entity ID (322). Statistical analyses(e.g., factor analysis (327) and cluster analysis (329)) are performedto identify the patterns and correlations in the random samples.

For example, a cluster analysis (329) can identify a set of clusters andthus cluster definitions (333) (e.g., the locations of the centroids ofthe clusters). In one embodiment, each entity ID (322) is represented asa point in a mathematical space defined by the set of variables; and thevariable values (323, 324, . . . , 325) of the entity ID (322) determinethe coordinates of the point in the space and thus the location of thepoint in the space. Various points may be concentrated in variousregions; and the cluster analysis (329) is configured to formulate thepositioning of the points to drive the clustering of the points. Inother embodiments, the cluster analysis (329) can also be performedusing the techniques of Self Organizing Maps (SOM), which can identifyand show clusters of multi-dimensional data using a representation on atwo-dimensional map.

Once the cluster definitions (333) are obtained from the clusteranalysis (329), the identity of the cluster (e.g., cluster ID (343))that contains the entity ID (322) can be used to characterize spendingbehavior of the entity represented by the entity ID (322). The entitiesin the same cluster are considered to have similar spending behaviors.

Similarities and differences among the entities, such as accounts,individuals, families, etc., as represented by the entity ID (e.g., 322)and characterized by the variable values (e.g., 323, 324, . . . , 325)can be identified via the cluster analysis (329). In one embodiment,after a number of clusters of entity IDs are identified based on thepatterns of the aggregated measurements, a set of profiles can begenerated for the clusters to represent the characteristics of theclusters. Once the clusters are identified, each of the entity IDs(e.g., corresponding to an account, individual, family) can be assignedto one cluster; and the profile for the corresponding cluster may beused to represent, at least in part, the entity (e.g., account,individual, family). Alternatively, the relationship between an entity(e.g., an account, individual, family) and one or more clusters can bedetermined (e.g., based on a measurement of closeness to each cluster).Thus, the cluster related data can be used in a transaction profile(e.g., 127 or 341) to provide information about the behavior of theentity (e.g., an account, an individual, a family).

In one embodiment, more than one set of cluster definitions (333) isgenerated from cluster analyses (329). For example, cluster analyses(329) may generate different sets of cluster solutions corresponding todifferent numbers of identified clusters. A set of cluster IDs (e.g.,343) can be used to summarize (335) the spending behavior of the entityrepresented by the entity ID (322), based on the typical spendingbehavior of the respective clusters. In one example, two clustersolutions are obtained; one of the cluster solutions has 17 clusters,which classify the entities in a relatively coarse manner; and the othercluster solution has 55 clusters, which classify the entities in arelative fine manner. A cardholder can be identified by the spendingbehavior of one of the 17 clusters and one of the 55 clusters in whichthe cardholder is located. Thus, the set of cluster IDs corresponding tothe set of cluster solutions provides a hierarchical identification ofan entity among clusters of different levels of resolution. The spendingbehavior of the clusters is represented by the cluster definitions(333), such as the parameters (e.g., variable values) that define thecentroids of the clusters.

In one embodiment, the random variables (e.g., 313 and 315) as definedby the definitions (309) have certain degrees of correlation and are notindependent from each other. For example, merchants of differentmerchant categories (e.g., 306) may have overlapping business, or havecertain business relationships. For example, certain products and/orservices of certain merchants have cause and effect relationships. Forexample, certain products and/or services of certain merchants aremutually exclusive to a certain degree (e.g., a purchase from onemerchant may have a level of probability to exclude the user (101) frommaking a purchase from another merchant). Such relationships may becomplex and difficult to quantify by merely inspecting the categories.Further, such relationships may shift over time as the economy changes.

In one embodiment, a factor analysis (327) is performed to reduce theredundancy and/or correlation among the variables (e.g., 313, 315). Thefactor analysis (327) identifies the definitions (331) for factors, eachof which represents a combination of the variables (e.g., 313, 315).

In one embodiment, a factor is a linear combination of a plurality ofthe aggregated measurements (e.g., variables (313, 315)) determined forvarious areas (e.g., merchants or merchant categories, products orproduct categories). Once the relationship between the factors and theaggregated measurements is determined via factor analysis, the valuesfor the factors can be determined from the linear combinations of theaggregated measurements and be used in a transaction profile (127 or341) to provide information on the behavior of the entity represented bythe entity ID (e.g., an account, an individual, a family).

Once the factor definitions (331) are obtained from the factor analysis(327), the factor definitions (331) can be applied to the variablevalues (321) to determine factor values (344) for the aggregatedspending profile (341). Since redundancy and correlation are reduced inthe factors, the number of factors is typically much smaller than thenumber of the original variables (e.g., 313, 315). Thus, the factorvalues (344) represent the concise summary of the original variables(e.g., 313, 315).

For example, there may be thousands of variables on spending frequencyand amount for different merchant categories; and the factor analysis(327) can reduce the factor number to less than one hundred (and evenless than twenty). In one example, a twelve-factor solution is obtained,which allows the use of twelve factors to combine the thousands of theoriginal variables (313, 315); and thus, the spending behavior inthousands of merchant categories can be summarized via twelve factorvalues (344). In one embodiment, each factor is combination of at leastfour variables; and a typical variable has contributions to more thanone factor.

In one example, hundreds or thousands of transaction records (301) of acardholder are converted into hundreds or thousands of variable values(321) for various merchant categories, which are summarized (335) viathe factor definitions (331) and cluster definitions (333) into twelvefactor values (344) and one or two cluster IDs (e.g., 343). Thesummarized data can be readily interpreted by a human to ascertain thespending behavior of the cardholder. A user (101) may easily specify aspending behavior requirement formulated based on the factor values(344) and the cluster IDs (e.g., to query for a segment of customers, orto request the targeting of a segment of customers). The reduced size ofthe summarized data reduces the need for data communication bandwidthfor communicating the spending behavior of the cardholder over a networkconnection and allows simplified processing and utilization of the datarepresenting the spending behavior of the cardholder.

In one embodiment, the behavior and characteristics of the clusters arestudied to identify a description of a type of representative entitiesthat are found in each of the clusters. The clusters can be named basedon the type of representative entities to allow an ordinary person toeasily understand the typical behavior of the clusters.

In one embodiment, the behavior and characteristics of the factors arealso studied to identify dominant aspects of each factor. The clusterscan be named based on the dominant aspects to allow an ordinary personto easily understand the meaning of a factor value.

In FIG. 2, an aggregated spending profile (341) for an entityrepresented by an entity ID (e.g., 322) includes the cluster ID (343)and factor values (344) determined based on the cluster definitions(333) and the factor definitions (331). The aggregated spending profile(341) may further include other statistical parameters, such asdiversity index (342), channel distribution (345), category distribution(346), zip code (347), etc., as further discussed below.

In one embodiment, the diversity index (342) may include an entropyvalue and/or a Gini coefficient, to represent the diversity of thespending by the entity represented by the entity ID (322) acrossdifferent areas (e.g., different merchant categories (e.g., 306)). Whenthe diversity index (342) indicates that the diversity of the spendingdata is under a predetermined threshold level, the variable values(e.g., 323, 324, . . . , 325) for the corresponding entity ID (322) maybe excluded from the cluster analysis (329) and/or the factor analysis(327) due to the lack of diversity. When the diversity index (342) ofthe aggregated spending profile (341) is lower than a predeterminedthreshold, the factor values (344) and the cluster ID (343) may notaccurately represent the spending behavior of the corresponding entity.

In one embodiment, the channel distribution (345) includes a set ofpercentage values that indicate the percentages of amounts spent indifferent purchase channels, such as online, via phone, in a retailstore, etc.

In one embodiment, the category distribution (346) includes a set ofpercentage values that indicate the percentages of spending amounts indifferent super categories (311). In one embodiment, thousands ofdifferent merchant categories (e.g., 306) are represented by MerchantCategory Codes (MCC), or North American Industry Classification System(NAICS) codes in transaction records (301). These merchant categories(e.g., 306) are classified or combined into less than one hundred supercategories (or less than twenty). In one example, fourteen supercategories are defined based on domain knowledge.

In one embodiment, the aggregated spending profile (341) includes theaggregated measurements (e.g., frequency, average spending amount)determined for a set of predefined, mutually exclusive merchantcategories (e.g., super categories (311)). Each of the super merchantcategories represents a type of products or services a customer maypurchase. A transaction profile (127 or 341) may include the aggregatedmeasurements for each of the set of mutually exclusive merchantcategories. The aggregated measurements determined for the predefined,mutually exclusive merchant categories can be used in transactionprofiles (127 or 341) to provide information on the behavior of arespective entity (e.g., an account, an individual, or a family).

In one embodiment, the zip code (347) in the aggregated spending profile(341) represents the dominant geographic area in which the spendingassociated with the entity ID (322) occurred. Alternatively or incombination, the aggregated spending profile (341) may include adistribution of transaction amounts over a set of zip codes that accountfor a majority of the transactions or transaction amounts (e.g., 90%).

In one embodiment, the factor analysis (327) and cluster analysis (329)are used to summarize the spending behavior across various areas, suchas different merchants characterized by merchant category (306),different products and/or services, different consumers, etc. Theaggregated spending profile (341) may include more or fewer fields thanthose illustrated in FIG. 2. For example, in one embodiment, theaggregated spending profile (341) further includes an aggregatedspending amount for a period of time (e.g., the past twelve months); inanother embodiment, the aggregated spending profile (341) does notinclude the category distribution (346); and in a further embodiment,the aggregated spending profile (341) may include a set of distancemeasures to the centroids of the clusters. The distance measures may bedefined based on the variable values (323, 324, . . . , 325), or basedon the factor values (344). The factor values of the centroids of theclusters may be estimated based on the entity ID (e.g., 322) that isclosest to the centroid in the respective cluster.

Other variables can be used in place of, or in additional to, thevariables (311, 313, 315) illustrated in FIG. 2. For example, theaggregated spending profile (341) can be generated using variablesmeasuring shopping radius/distance from the primary address of theaccount holder to the merchant site for offline purchases. When suchvariables are used, the transaction patterns can be identified based atleast in part on clustering according to shopping radius/distance andgeographic regions. Similarly, the factor definition (331) may includethe consideration of the shopping radius/distance. For example, thetransaction records (301) may be aggregated based on the ranges ofshopping radius/distance and/or geographic regions. For example, thefactor analysis can be used to determine factors that naturally combinegeographical areas based on the correlations in the spending patterns invarious geographical areas.

In one embodiment, the aggregation (317) may involve the determinationof a deviation from a trend or pattern. For example, an account makes acertain number of purchases a week at a merchant over the past 6 months.However, in the past 2 weeks the number of purchases is less than theaverage number per week. A measurement of the deviation from the trendor pattern can be used (e.g., in a transaction profile (127 or 341) as aparameter, or in variable definitions (309) for the factor analysis(327) and/or the cluster analysis) to define the behavior of an account,an individual, a family, etc.

FIG. 3 shows a method to generate an aggregated spending profileaccording to one embodiment. In FIG. 3, computation models areestablished (351) for variables (e.g., 311, 313, and 315). In oneembodiment, the variables are defined in a way to capture certainaspects of the spending statistics, such as frequency, amount, etc.

In FIG. 3, data from related accounts are combined (353). For example,when an account number change has occurred for a cardholder in the timeperiod under analysis, the transaction records (301) under the differentaccount numbers of the same cardholder are combined under one accountnumber that represents the cardholder. For example, when the analysis isperformed at a person level (or family level, business level, socialgroup level, city level, or region level), the transaction records (301)in different accounts of the person (or family, business, social group,city or region) can be combined under one entity ID (322) thatrepresents the person (or family, business, social group, city orregion).

In one embodiment, recurrent/installment transactions are combined(355). For example, multiple monthly payments may be combined andconsidered as one single purchase.

In FIG. 3, account data are selected (357) according to a set ofcriteria related to activity, consistency, diversity, etc.

For example, when a cardholder uses a credit card solely to purchasegas, the diversity of the transactions by the cardholder is low. In sucha case, the transactions in the account of the cardholder may not bestatistically meaningful to represent the spending pattern of thecardholder in various merchant categories. Thus, in one embodiment, ifthe diversity of the transactions associated with an entity ID (322) isbelow a threshold, the variable values (e.g., 323, 324, . . . , 325)corresponding to the entity ID (322) are not used in the clusteranalysis (329) and/or the factor analysis (327). The diversity can beexamined based on the diversity index (342) (e.g., entropy or Ginicoefficient), or based on counting the different merchant categories inthe transactions associated with the entity ID (322); and when the countof different merchant categories is fewer than a threshold (e.g., 5),the transactions associated with the entity ID (322) are not used in thecluster analysis (329) and/or the factor analysis (327) due to the lackof diversity.

For example, when a cardholder uses a credit card only sporadically(e.g., when running out of cash), the limited transactions by thecardholder may not be statistically meaningful in representing thespending behavior of the cardholder. Thus, in one embodiment, when thenumbers of transactions associated with an entity ID (322) is below athreshold, the variable values (e.g., 323, 324, . . . , 325)corresponding to the entity ID (322) are not used in the clusteranalysis (329) and/or the factor analysis (327).

For example, when a cardholder has only used a credit card during aportion of the time period under analysis, the transaction records (301)during the time period may not reflect the consistent behavior of thecardholder for the entire time period. Consistency can be checked invarious ways. In one example, if the total number of transactions duringthe first and last months of the time period under analysis is zero, thetransactions associated with the entity ID (322) are inconsistent in thetime period and thus are not used in the cluster analysis (329) and/orthe factor analysis (327). Other criteria can be formulated to detectinconsistency in the transactions.

In FIG. 3, the computation models (e.g., as represented by the variabledefinitions (309)) are applied (359) to the remaining account data(e.g., transaction records (301)) to obtain data samples for thevariables. The data points associated with the entities, other thanthose whose transactions fail to meet the minimum requirements foractivity, consistency, diversity, etc., are used in factor analysis(327) and cluster analysis (329).

In FIG. 3, the data samples (e.g., variable values (321)) are used toperform (361) factor analysis (327) to identify factor solutions (e.g.,factor definitions (331)). The factor solutions can be adjusted (363) toimprove similarity in factor values of different sets of transactiondata (109). For example, factor definitions (331) can be applied to thetransactions in the time period under analysis (e.g., the past twelvemonths) and be applied separately to the transactions in a prior timeperiod (e.g., the twelve months before the past twelve months) to obtaintwo sets of factor values. The factor definitions (331) can be adjustedto improve the correlation between the two set of factor values.

The data samples can also be used to perform (365) cluster analysis(329) to identify cluster solutions (e.g., cluster definitions (333)).The cluster solutions can be adjusted (367) to improve similarity incluster identifications based on different sets of transaction data(109). For example, cluster definitions (333) can be applied to thetransactions in the time period under analysis (e.g., the past twelvemonths) and be applied separately to the transactions in a prior timeperiod (e.g., the twelve months before the past twelve months) to obtaintwo sets of cluster identifications for various entities. The clusterdefinitions (333) can be adjusted to improve the correlation between thetwo set of cluster identifications.

In one embodiment, the number of clusters is determined from clusteringanalysis. For example, a set of cluster seeds can be initiallyidentified and used to run a known clustering algorithm. The sizes ofdata points in the clusters are then examined. When a cluster containsless than a predetermined number of data points, the cluster may beeliminated to rerun the clustering analysis.

In one embodiment, standardizing entropy is added to the clustersolution to obtain improved results.

In one embodiment, human understandable characteristics of the factorsand clusters are identified (369) to name the factors and clusters. Forexample, when the spending behavior of a cluster appears to be thebehavior of an internet loyalist, the cluster can be named “internetloyalist” such that if a cardholder is found to be in the “internetloyalist” cluster, the spending preferences and patterns of thecardholder can be easily perceived.

In one embodiment, the factor analysis (327) and the cluster analysis(329) are performed periodically (e.g., once a year, or six months) toupdate the factor definitions (331) and the cluster definitions (333),which may change as the economy and the society change over time.

In FIG. 3, transaction data (109) are summarized (371) using the factorsolutions and cluster solutions to generate the aggregated spendingprofile (341). The aggregated spending profile (341) can be updated morefrequently than the factor solutions and cluster solutions, when the newtransaction data (109) becomes available. For example, the aggregatedspending profile (341) may be updated quarterly or monthly.

Various tweaks and adjustments can be made for the variables (e.g., 313,315) used for the factor analysis (327) and the cluster analysis (329).For example, the transaction records (301) may be filtered, weighted orconstrained, according to different rules to improve the capabilities ofthe aggregated measurements in indicating certain aspects of thespending behavior of the customers.

For example, in one embodiment, the variables (e.g., 313, 315) arenormalized and/or standardized (e.g., using statistical average, mean,and/or variance).

For example, the variables (e.g., 313, 315) for the aggregatedmeasurements can be tuned, via filtering and weighting, to predict thefuture trend of spending behavior (e.g., for advertisement selection),to identify abnormal behavior (e.g., for fraud prevention), or toidentify a change in spending pattern (e.g., for advertisement audiencemeasurement), etc. The aggregated measurements, the factor values (344),and/or the cluster ID (343) generated from the aggregated measurementscan be used in a transaction profile (127 or 341) to define the behaviorof an account, an individual, a family, etc.

In one embodiment, the transaction data (109) are aged to provide moreweight to recent data than older data. In other embodiments, thetransaction data (109) are reverse aged. In further embodiments, thetransaction data (109) are seasonally adjusted.

In one embodiment, the variables (e.g., 313, 315) are constrained toeliminate extreme outliers. For example, the minimum values and themaximum values of the spending amounts (315) may be constrained based onvalues at certain percentiles (e.g., the value at one percentile as theminimum and the value at 99 percentile as the maximum) and/or certainpredetermined values. In one embodiment, the spending frequencyvariables (313) are constrained based on values at certain percentilesand median values. For example, the minimum value for a spendingfrequency variable (313) may be constrained at P₁−k×(M−P₁), where P₁ isthe one percentile value, M the median value, and k a predeterminedconstant (e.g., 0.1). For example, the maximum value for a spendingfrequency variable (313) may be constrained at P₉₉+a×(P₉₉−M), where P₉₉is the 99 percentile value, M the median value, and k a predeterminedconstant (e.g., 0.1).

In one embodiment, variable pruning is performed to reduce the number ofvariables (e.g., 313, 315) that have less impact on cluster solutionsand/or factor solutions. For example, variables with standard variationless than a predetermined threshold (e.g., 0.1) may be discarded for thepurpose of cluster analysis (329). For example, analysis of variance(ANOVA) can be performed to identify and remove variables that are nomore significant than a predetermined threshold.

The aggregated spending profile (341) can provide information onspending behavior for various application areas, such as marketing,fraud detection and prevention, creditworthiness assessment, loyaltyanalytics, targeting of offers, etc.

For example, clusters can be used to optimize offers for various groupswithin an advertisement campaign. The use of factors and clusters totarget advertisement can improve the speed of producing targetingmodels. For example, using variables based on factors and clusters (andthus eliminating the need to use a large number of convention variables)can improve predictive models and increase efficiency of targeting byreducing the number of variables examined. The variables formulatedbased on factors and/or clusters can be used with other variables tobuild predictive models based on spending behaviors.

In one embodiment, the aggregated spending profile (341) can be used tomonitor risks in transactions. Factor values are typically consistentover time for each entity. An abrupt change in some of the factor valuesmay indicate a change in financial conditions, or a fraudulent use ofthe account. Models formulated using factors and clusters can be used toidentify a series of transactions that do not follow a normal patternspecified by the factor values (344) and/or the cluster ID (343).Potential bankruptcies can be predicted by analyzing the change offactor values over time; and significant changes in spending behaviormay be detected to stop and/or prevent fraudulent activities.

For example, the factor values (344) can be used in regression modelsand/or neural network models for the detection of certain behaviors orpatterns. Since factors are relatively non-collinear, the factors canwork well as independent variables. For example, factors and clusterscan be used as independent variables in tree models.

For example, surrogate accounts can be selected for the construction ofa quasi-control group. For example, for a given account A that is in onecluster, the account B that is closest to the account A in the samecluster can be selected as a surrogate account of the account B. Thecloseness can be determined by certain values in the aggregated spendingprofile (341), such as factor values (344), category distribution (346),etc. For example, a Euclidian distance defined based on the set ofvalues from the aggregated spending profile (341) can be used to comparethe distances between the accounts. Once identified, the surrogateaccount can be used to reduce or eliminate bias in measurements. Forexample, to determine the effect of an advertisement, the spendingpattern response of the account A that is exposed to the advertisementcan be compared to the spending pattern response of the account B thatis not exposed to the advertisement.

For example, the aggregated spending profile (341) can be used insegmentation and/or filtering analysis, such as selecting cardholdershaving similar spending behaviors identified via factors and/or clustersfor targeted advertisement campaigns, and selecting and determining agroup of merchants that could be potentially marketed towardscardholders originating in a given cluster (e.g., for bundled offers).For example, a query interface can be provided to allow the query toidentify a targeted population based on a set of criteria formulatedusing the values of clusters and factors.

For example, the aggregated spending profile (341) can be used in aspending comparison report, such as comparing a sub-population ofinterest against the overall population, determining how clusterdistributions and mean factor values differ, and building reports formerchants and/or issuers for benchmarking purposes. For example, reportscan be generated according to clusters in an automated way for themerchants. For example, the aggregated spending profile (341) can beused in geographic reports by identifying geographic areas wherecardholders shop most frequently and comparing predominant spendinglocations with cardholder residence locations.

In one embodiment, the profile generator (121) provides affinityrelationship data in the transaction profiles (127) so that thetransaction profiles (127) can be shared with business partners withoutcompromising the privacy of the users (101) and the transaction details.

For example, in one embodiment, the profile generator (121) is toidentify clusters of entities (e.g., accounts, cardholders, families,businesses, cities, regions, etc.) based on the spending patterns of theentities. The clusters represent entity segments identified based on thespending patterns of the entities reflected in the transaction data(109) or the transaction records (301).

In one embodiment, the clusters correspond to cells or regions in themathematical space that contain the respective groups of entities. Forexample, the mathematical space representing the characteristics ofusers (101) may be divided into clusters (cells or regions). Forexample, the cluster analysis (329) may identify one cluster in the cellor region that contains a cluster of entity IDs (e.g., 322) in the spacehaving a plurality of dimensions corresponding to the variables (e.g.,313 and 315). For example, a cluster can also be identified as a cell orregion in a space defined by the factors using the factor definitions(331) generated from the factor analysis (327).

In one embodiment, the parameters used in the aggregated spendingprofile (341) can be used to define a segment or a cluster of entities.For example, a value for the cluster ID (343) and a set of ranges forthe factor values (344) and/or other values can be used to define asegment.

In one embodiment, a set of clusters are standardized to represent thepredilection of entities in various groups for certain products orservices. For example, a set of standardized clusters can be formulatedfor people who have shopped, for example, at home improvement stores.The cardholders in the same cluster have similar spending behavior.

In one embodiment, the tendency or likelihood of a user (101) being in aparticular cluster (i.e. the user's affinity to the cell) can becharacterized using a value, based on past purchases. The same user(101) may have different affinity values for different clusters.

For example, a set of affinity values can be computed for an entity,based on the transaction records (301), to indicate the closeness orpredilection of the entity to the set of standardized clusters. Forexample, a cardholder who has a first value representing affinity of thecardholder to a first cluster may have a second value representingaffinity of the cardholder to a second cluster. For example, if aconsumer buys a lot of electronics, the affinity value of the consumerto the electronics cluster is high.

In one embodiment, other indicators are formulated across the merchantcommunity and cardholder behavior and provided in the profile (e.g., 127or 341) to indicate the risk of a transaction.

In one embodiment, the relationship of a pair of values from twodifferent clusters provides an indication of the likelihood that theuser (101) is in one of the two cells, if the user (101) is shown to bein the other cell. For example, if the likelihood of the user (101) topurchase each of two types of products is known, the scores can be usedto determine the likelihood of the user (101) buying one of the twotypes of products if the user (101) is known to be interested in theother type of products. In one embodiment, a map of the values for theclusters is used in a profile (e.g., 127 or 341) to characterize thespending behavior of the user (101) (or other types of entities, such asa family, company, neighborhood, city, or other types of groups definedby other aggregate parameters, such as time of day, etc.).

In one embodiment, the clusters and affinity information arestandardized to allow sharing between business partners, such astransaction processing organizations, search providers, and marketers.Purchase statistics and search statistics are generally described indifferent ways. For example, purchase statistics are based on merchants,merchant categories, SKU numbers, product descriptions, etc.; and searchstatistics are based on search terms. Once the clusters arestandardized, the clusters can be used to link purchase informationbased merchant categories (and/or SKU numbers, product descriptions)with search information based on search terms. Thus, search predilectionand purchase predilection can be mapped to each other.

In one embodiment, the purchase data and the search data (or other thirdparty data) are correlated based on mapping to the standardized clusters(cells or segments). The purchase data and the search data (or otherthird party data) can be used together to provide benefits or offers(e.g., coupons) to consumers. For example, standardized clusters can beused as a marketing tool to provide relevant benefits, includingcoupons, statement credits, or the like to consumers who are within orare associated with common clusters. For example, a data exchangeapparatus may obtain cluster data based on consumer search engine dataand actual payment transaction data to identify like groups ofindividuals who may respond favorably to particular types of benefits,such as coupons and statement credits.

Details about aggregated spending profile (341) in one embodiment areprovided in U.S. patent application Ser. No. 12/777,173, filed May 10,2010 and entitled “Systems and Methods to Summarize Transaction Data,”the disclosure of which is hereby incorporated herein by reference.

Transaction Data Based Portal

In FIG. 1, the transaction terminal (105) initiates the transaction fora user (101) (e.g., a customer) for processing by a transaction handler(103). The transaction handler (103) processes the transaction andstores transaction data (109) about the transaction, in connection withaccount data (111), such as the account profile of an account of theuser (101). The account data (111) may further include data about theuser (101), collected from issuers or merchants, and/or other sources,such as social networks, credit bureaus, merchant provided information,address information, etc. In one embodiment, a transaction may beinitiated by a server (e.g., based on a stored schedule for recurrentpayments).

Over a period of time, the transaction handler (103) accumulates thetransaction data (109) from transactions initiated at differenttransaction terminals (e.g., 105) for different users (e.g., 101). Thetransaction data (109) thus includes information on purchases made byvarious users (e.g., 101) at various times via different purchasesoptions (e.g., online purchase, offline purchase from a retail store,mail order, order via phone, etc.)

In one embodiment, the accumulated transaction data (109) and thecorresponding account data (111) are used to generate intelligenceinformation about the purchase behavior, pattern, preference, tendency,frequency, trend, amount and/or propensity of the users (e.g., 101), asindividuals or as a member of a group. The intelligence information canthen be used to generate, identify and/or select targeted advertisementsfor presentation to the user (101) on the point of interaction (107),during a transaction, after a transaction, or when other opportunitiesarise.

FIG. 4 shows a system to provide information based on transaction data(109) according to one embodiment. In FIG. 4, the transaction handler(103) is coupled between an issuer processor (145) and an acquirerprocessor (147) to facilitate authorization and settlement oftransactions between a consumer account (146) and a merchant account(148). The transaction handler (103) records the transactions in thedata warehouse (149). The portal (143) is coupled to the data warehouse(149) to provide information based on the transaction records (301),such as the transaction profiles (127) or aggregated spending profile(341). The portal (143) may be implemented as a web portal, a telephonegateway, a file/data server, etc.

In one embodiment, the portal (143) is configured to receive queriesidentifying search criteria from the profile selector (129), theadvertisement selector (133) and/or third parties and in response, toprovide transaction-based intelligence requested by the queries.

For example, in one embodiment, a query is to specify a plurality ofaccount holders to request the portal (143) to deliver the transactionprofiles (127) of account holders in a batch mode.

For example, in one embodiment, a query is to identify the user (101) torequest the user specific profile (131), or the aggregated spendingprofile (341), of the user (101). The user (101) may be identified usingthe account data (111), such as the account number (302), or the userdata (125) such as browser cookie ID, IP address, etc.

For example, in one embodiment, a query is to identify a retaillocation; and the portal (143) is to provide a profile (e.g., 341) thatsummarizes the aggregated spending patterns of users who have shopped atthe retail location within a period of time.

For example, in one embodiment, a query is to identify a geographicallocation; and the portal (143) is to provide a profile (e.g., 341) thatsummarizes the aggregated spending patterns of users who have been to,or who are expected to visit, the geographical location within a periodof time (e.g., as determined or predicted based on the locations of thepoint of interactions (e.g., 107) of the users).

For example, in one embodiment, a query is to identify a geographicalarea; and the portal (143) is to provide a profile (e.g., 341) thatsummarizes the aggregated spending patterns of users who reside in thegeographical area (e.g., as determined by the account data (111), or whohave made transactions within the geographical area with a period oftime (e.g., as determined by the locations of the transaction terminals(e.g., 105) used to process the transactions).

In one embodiment, the portal (143) is configured to register certainusers (101) for various programs, such as a loyalty program to providerewards and/or offers to the users (101).

In one embodiment, the portal (143) is to register the interest of users(101), or to obtain permissions from the users (101) to gather furtherinformation about the users (101), such as data capturing purchasedetails, online activities, etc.

In one embodiment, the user (101) may register via the issuer; and theregistration data in the consumer account (146) may propagate to thedata warehouse (149) upon approval from the user (101).

In one embodiment, the portal (143) is to register merchants and provideservices and/or information to merchants.

In one embodiment, the portal (143) is to receive information from thirdparties, such as search engines, merchants, web sites, etc. The thirdparty data can be correlated with the transaction data (109) to identifythe relationships between purchases and other events, such as searches,news announcements, conferences, meetings, etc., and improve theprediction capability and accuracy.

In FIG. 4, the consumer account (146) is under the control of the issuerprocessor (145). The consumer account (146) may be owned by anindividual, or an organization such as a business, a school, etc. Theconsumer account (146) may be a credit account, a debit account, or astored value account. The issuer may provide the consumer (e.g., user(101)) an account identification device (141) to identify the consumeraccount (146) using the account information (142). The respectiveconsumer of the account (146) can be called an account holder or acardholder, even when the consumer is not physically issued a card, orthe account identification device (141), in one embodiment. The issuerprocessor (145) is to charge the consumer account (146) to pay forpurchases.

In one embodiment, the account identification device (141) is a plasticcard having a magnetic strip storing account information (142)identifying the consumer account (146) and/or the issuer processor(145). Alternatively, the account identification device (141) is asmartcard having an integrated circuit chip storing at least the accountinformation (142). In one embodiment, the account identification device(141) includes a mobile phone having an integrated smartcard.

In one embodiment, the account information (142) is printed or embossedon the account identification device (141). The account information(142) may be printed as a bar code to allow the transaction terminal(105) to read the information via an optical scanner. The accountinformation (142) may be stored in a memory of the accountidentification device (141) and configured to be read via wireless,contactless communications, such as near field communications viamagnetic field coupling, infrared communications, or radio frequencycommunications. Alternatively, the transaction terminal (105) mayrequire contact with the account identification device (141) to read theaccount information (142) (e.g., by reading the magnetic strip of a cardwith a magnetic strip reader).

In one embodiment, the transaction terminal (105) is configured totransmit an authorization request message to the acquirer processor(147). The authorization request includes the account information (142),an amount of payment, and information about the merchant (e.g., anindication of the merchant account (148)). The acquirer processor (147)requests the transaction handler (103) to process the authorizationrequest, based on the account information (142) received in thetransaction terminal (105). The transaction handler (103) routes theauthorization request to the issuer processor (145) and may process andrespond to the authorization request when the issuer processor (145) isnot available. The issuer processor (145) determines whether toauthorize the transaction based at least in part on a balance of theconsumer account (146).

In one embodiment, the transaction handler (103), the issuer processor(145), and the acquirer processor (147) may each include a subsystem toidentify the risk in the transaction and may reject the transactionbased on the risk assessment.

In one embodiment, the account identification device (141) includessecurity features to prevent unauthorized uses of the consumer account(146), such as a logo to show the authenticity of the accountidentification device (141), encryption to protect the accountinformation (142), etc.

In one embodiment, the transaction terminal (105) is configured tointeract with the account identification device (141) to obtain theaccount information (142) that identifies the consumer account (146)and/or the issuer processor (145). The transaction terminal (105)communicates with the acquirer processor (147) that controls themerchant account (148) of a merchant. The transaction terminal (105) maycommunicate with the acquirer processor (147) via a data communicationconnection, such as a telephone connection, an Internet connection, etc.The acquirer processor (147) is to collect payments into the merchantaccount (148) on behalf of the merchant.

In one embodiment, the transaction terminal (105) is a POS terminal at atraditional, offline, “brick and mortar” retail store. In anotherembodiment, the transaction terminal (105) is an online server thatreceives account information (142) of the consumer account (146) fromthe user (101) through a web connection. In one embodiment, the user(101) may provide account information (142) through a telephone call,via verbal communications with a representative of the merchant; and therepresentative enters the account information (142) into the transactionterminal (105) to initiate the transaction.

In one embodiment, the account information (142) can be entered directlyinto the transaction terminal (105) to make payment from the consumeraccount (146), without having to physically present the accountidentification device (141). When a transaction is initiated withoutphysically presenting an account identification device (141), thetransaction is classified as a “card-not-present” (CNP) transaction.

In one embodiment, the issuer processor (145) may control more than oneconsumer account (146); the acquirer processor (147) may control morethan one merchant account (148); and the transaction handler (103) isconnected between a plurality of issuer processors (e.g., 145) and aplurality of acquirer processors (e.g., 147). An entity (e.g., bank) mayoperate both an issuer processor (145) and an acquirer processor (147).

In one embodiment, the transaction handler (103), the issuer processor(145), the acquirer processor (147), the transaction terminal (105), theportal (143), and other devices and/or services accessing the portal(143) are connected via communications networks, such as local areanetworks, cellular telecommunications networks, wireless wide areanetworks, wireless local area networks, an intranet, and Internet. Inone embodiment, dedicated communication channels are used between thetransaction handler (103) and the issuer processor (145), between thetransaction handler (103) and the acquirer processor (147), and/orbetween the portal (143) and the transaction handler (103).

In one embodiment, the transaction handler (103) uses the data warehouse(149) to store the records about the transactions, such as thetransaction records (301) or transaction data (109). In one embodiment,the transaction handler (103) includes a powerful computer, or clusterof computers functioning as a unit, controlled by instructions stored ona computer readable medium.

In one embodiment, the transaction handler (103) is configured tosupport and deliver authorization services, exception file services, andclearing and settlement services. In one embodiment, the transactionhandler (103) has a subsystem to process authorization requests andanother subsystem to perform clearing and settlement services.

In one embodiment, the transaction handler (103) is configured toprocess different types of transactions, such credit card transactions,debit card transactions, prepaid card transactions, and other types ofcommercial transactions.

In one embodiment, the transaction handler (103) facilitates thecommunications between the issuer processor (145) and the acquirerprocessor (147).

In one embodiment, the transaction handler (103) is coupled to theportal (143) (and/or the profile selector (129), the advertisementselector (133), the media controller (115)) to charge the fees for theservices of providing the transaction-based intelligence informationand/or advertisement.

For example, in one embodiment, the system illustrated in FIG. 1 isconfigured to deliver advertisements to the point of interaction (107)of the user (101), based on the transaction-based intelligenceinformation; and the transaction handler (103) is configured to chargethe advertisement fees to the account of the advertiser in communicationwith the issuer processor in control of the account of the advertiser.The advertisement fees may be charged in response to the presentation ofthe advertisement, or in response to the completion of a pre-determinednumber of presentations, or in response to a transaction resulted fromthe presentation of the advertisement. In one embodiment, thetransaction handler (103) is configured to a periodic fee (e.g., monthlyfee, annual fee) to the account of the advertiser in communication withthe respective issuer processor that is similar to the issuer processor(145) of the consumer account (146).

For example, in one embodiment, the portal (143) is configured toprovide transaction-based intelligence information in response to thequeries received in the portal (143). The portal (143) is to identifythe requesters (e.g., via an authentication, or the address of therequesters) and instruct the transaction handler (103) to charge theconsumer accounts (e.g., 146) of the respective requesters for thetransaction-based intelligence information. In one embodiment, theaccounts of the requesters are charged in response to the delivery ofthe intelligence information via the portal (143). In one embodiment,the accounts of the requesters are charged a periodic subscription feefor the access to the query capability of the portal (143).

In one embodiment, the information service provided by the systemillustrated in FIG. 1 includes multiple parties, such as one entityoperating the transaction handler (103), one entity operating theadvertisement data (135), one entity operating the user tracker (113),one entity operating the media controller (115), etc. The transactionhandler (103) is used to generate transactions to settle the fees,charges and/or divide revenues using the accounts of the respectiveparties. In one embodiment, the account information of the parties isstored in the data warehouse (149) coupled to the transaction handler(103). In some embodiments, a separate billing engine is used togenerate the transactions to settle the fees, charges and/or dividerevenues.

In one embodiment, the transaction terminal (105) is configured tosubmit the authorized transactions to the acquirer processor (147) forsettlement. The amount for the settlement may be different from theamount specified in the authorization request. The transaction handler(103) is coupled between the issuer processor (145) and the acquirerprocessor (147) to facilitate the clearing and settling of thetransaction. Clearing includes the exchange of financial informationbetween the issuer processor (145) and the acquirer processor (147); andsettlement includes the exchange of funds.

In one embodiment, the issuer processor (145) is to provide funds tomake payments on behalf of the consumer account (146). The acquirerprocessor (147) is to receive the funds on behalf of the merchantaccount (148). The issuer processor (145) and the acquirer processor(147) communicate with the transaction handler (103) to coordinate thetransfer of funds for the transaction. In one embodiment, the funds aretransferred electronically.

In one embodiment, the transaction terminal (105) may submit atransaction directly for settlement, without having to separately submitan authorization request.

In one embodiment, the portal (143) provides a user interface to allowthe user (101) to organize the transactions in one or more consumeraccounts (146) of the user with one or more issuers. The user (101) mayorganize the transactions using information and/or categories identifiedin the transaction records (301), such as merchant category (306),transaction date (303), amount (304), etc. Examples and techniques inone embodiment are provided in U.S. patent application Ser. No.11/378,215, filed Mar. 16, 2006, assigned Pub. No. 2007/0055597, andentitled “Method and System for Manipulating Purchase Information,” thedisclosure of which is hereby incorporated herein by reference.

In one embodiment, the portal (143) provides transaction basedstatistics, such as indicators for retail spending monitoring,indicators for merchant benchmarking, industry/market segmentation,indicators of spending patterns, etc. Further examples can be found inU.S. patent application Ser. No. 12/191,796, filed Aug. 14, 2008,assigned Pub. No. 2009/0048884, and entitled “Merchant BenchmarkingTool,” U.S. patent application Ser. No. 12/940,562, filed Nov. 5, 2010,and U.S. patent application Ser. No. 12/940,664, filed Nov. 5, 2010, thedisclosures of which applications are hereby incorporated herein byreference.

Transaction Terminal

FIG. 5 illustrates a transaction terminal according to one embodiment.In FIG. 5, the transaction terminal (105) is configured to interact withan account identification device (141) to obtain account information(142) about the consumer account (146).

In one embodiment, the transaction terminal (105) includes a memory(167) coupled to the processor (151), which controls the operations of areader (163), an input device (153), an output device (165) and anetwork interface (161). The memory (167) may store instructions for theprocessor (151) and/or data, such as an identification that isassociated with the merchant account (148).

In one embodiment, the reader (163) includes a magnetic strip reader. Inanother embodiment, the reader (163) includes a contactless reader, suchas a radio frequency identification (RFID) reader, a near fieldcommunications (NFC) device configured to read data via magnetic fieldcoupling (in accordance with ISO standard 14443/NFC), a Bluetoothtransceiver, a WiFi transceiver, an infrared transceiver, a laserscanner, etc.

In one embodiment, the input device (153) includes key buttons that canbe used to enter the account information (142) directly into thetransaction terminal (105) without the physical presence of the accountidentification device (141). The input device (153) can be configured toprovide further information to initiate a transaction, such as apersonal identification number (PIN), password, zip code, etc. that maybe used to access the account identification device (141), or incombination with the account information (142) obtained from the accountidentification device (141).

In one embodiment, the output device (165) may include a display, aspeaker, and/or a printer to present information, such as the result ofan authorization request, a receipt for the transaction, anadvertisement, etc.

In one embodiment, the network interface (161) is configured tocommunicate with the acquirer processor (147) via a telephoneconnection, an Internet connection, or a dedicated data communicationchannel.

In one embodiment, the instructions stored in the memory (167) areconfigured at least to cause the transaction terminal (105) to send anauthorization request message to the acquirer processor (147) toinitiate a transaction. The transaction terminal (105) may or may notsend a separate request for the clearing and settling of thetransaction. The instructions stored in the memory (167) are alsoconfigured to cause the transaction terminal (105) to perform othertypes of functions discussed in this description.

In one embodiment, a transaction terminal (105) may have fewercomponents than those illustrated in FIG. 5. For example, in oneembodiment, the transaction terminal (105) is configured for“card-not-present” transactions; and the transaction terminal (105) doesnot have a reader (163).

In one embodiment, a transaction terminal (105) may have more componentsthan those illustrated in FIG. 5. For example, in one embodiment, thetransaction terminal (105) is an ATM machine, which includes componentsto dispense cash under certain conditions.

Account Identification Device

FIG. 6 illustrates an account identifying device according to oneembodiment. In FIG. 6, the account identification device (141) isconfigured to carry account information (142) that identifies theconsumer account (146).

In one embodiment, the account identification device (141) includes amemory (167) coupled to the processor (151), which controls theoperations of a communication device (159), an input device (153), anaudio device (157) and a display device (155). The memory (167) maystore instructions for the processor (151) and/or data, such as theaccount information (142) associated with the consumer account (146).

In one embodiment, the account information (142) includes an identifieridentifying the issuer (and thus the issuer processor (145)) among aplurality of issuers, and an identifier identifying the consumer accountamong a plurality of consumer accounts controlled by the issuerprocessor (145). The account information (142) may include an expirationdate of the account identification device (141), the name of theconsumer holding the consumer account (146), and/or an identifieridentifying the account identification device (141) among a plurality ofaccount identification devices associated with the consumer account(146).

In one embodiment, the account information (142) may further include aloyalty program account number, accumulated rewards of the consumer inthe loyalty program, an address of the consumer, a balance of theconsumer account (146), transit information (e.g., a subway or trainpass), access information (e.g., access badges), and/or consumerinformation (e.g., name, date of birth), etc.

In one embodiment, the memory includes a nonvolatile memory, such asmagnetic strip, a memory chip, a flash memory, a Read Only Memory (ROM),etc. to store the account information (142).

In one embodiment, the information stored in the memory (167) of theaccount identification device (141) may also be in the form of datatracks that are traditionally associated with credits cards. Such tracksinclude Track 1 and Track 2. Track 1 (“International Air TransportAssociation”) stores more information than Track 2, and contains thecardholder's name as well as the account number and other discretionarydata. Track 1 is sometimes used by airlines when securing reservationswith a credit card. Track 2 (“American Banking Association”) iscurrently most commonly used and is read by ATMs and credit cardcheckers. The ABA (American Banking Association) designed thespecifications of Track 1 and banks abide by it. It contains thecardholder's account number, encrypted PIN, and other discretionarydata.

In one embodiment, the communication device (159) includes asemiconductor chip to implement a transceiver for communication with thereader (163) and an antenna to provide and/or receive wireless signals.

In one embodiment, the communication device (159) is configured tocommunicate with the reader (163). The communication device (159) mayinclude a transmitter to transmit the account information (142) viawireless transmissions, such as radio frequency signals, magneticcoupling, or infrared, Bluetooth or WiFi signals, etc.

In one embodiment, the account identification device (141) is in theform of a mobile phone, personal digital assistant (PDA), etc. The inputdevice (153) can be used to provide input to the processor (151) tocontrol the operation of the account identification device (141); andthe audio device (157) and the display device (155) may present statusinformation and/or other information, such as advertisements or offers.The account identification device (141) may include further componentsthat are not shown in FIG. 6, such as a cellular communicationssubsystem.

In one embodiment, the communication device (159) may access the accountinformation (142) stored on the memory (167) without going through theprocessor (151).

In one embodiment, the account identification device (141) has fewercomponents than those illustrated in FIG. 6. For example, an accountidentification device (141) does not have the input device (153), theaudio device (157) and the display device (155) in one embodiment; andin another embodiment, an account identification device (141) does nothave components (151-159).

For example, in one embodiment, an account identification device (141)is in the form of a debit card, a credit card, a smartcard, or aconsumer device that has optional features such as magnetic strips, orsmartcards.

An example of an account identification device (141) is a magnetic stripattached to a plastic substrate in the form of a card. The magneticstrip is used as the memory (167) of the account identification device(141) to provide the account information (142). Consumer information,such as account number, expiration date, and consumer name may beprinted or embossed on the card. A semiconductor chip implementing thememory (167) and the communication device (159) may also be embedded inthe plastic card to provide account information (142) in one embodiment.In one embodiment, the account identification device (141) has thesemiconductor chip but not the magnetic strip.

In one embodiment, the account identification device (141) is integratedwith a security device, such as an access card, a radio frequencyidentification (RFID) tag, a security card, a transponder, etc.

In one embodiment, the account identification device (141) is a handheldand compact device. In one embodiment, the account identification device(141) has a size suitable to be placed in a wallet or pocket of theconsumer.

Some examples of an account identification device (141) include a creditcard, a debit card, a stored value device, a payment card, a gift card,a smartcard, a smart media card, a payroll card, a health care card, awrist band, a keychain device, a supermarket discount card, atransponder, and a machine readable medium containing accountinformation (142).

Point of Interaction

In one embodiment, the point of interaction (107) is to provide anadvertisement to the user (101), or to provide information derived fromthe transaction data (109) to the user (101).

In one embodiment, an advertisement is a marketing interaction which mayinclude an announcement and/or an offer of a benefit, such as adiscount, incentive, reward, coupon, gift, cash back, or opportunity(e.g., special ticket/admission). An advertisement may include an offerof a product or service, an announcement of a product or service, or apresentation of a brand of products or services, or a notice of events,facts, opinions, etc. The advertisements can be presented in text,graphics, audio, video, or animation, and as printed matter, webcontent, interactive media, etc. An advertisement may be presented inresponse to the presence of a financial transaction card, or in responseto a financial transaction card being used to make a financialtransaction, or in response to other user activities, such as browsing aweb page, submitting a search request, communicating online, entering awireless communication zone, etc. In one embodiment, the presentation ofadvertisements may be not a result of a user action.

In one embodiment, the point of interaction (107) can be one of variousendpoints of the transaction network, such as point of sale (POS)terminals, automated teller machines (ATMs), electronic kiosks (orcomputer kiosks or interactive kiosks), self-assist checkout terminals,vending machines, gas pumps, websites of banks (e.g., issuer banks oracquirer banks of credit cards), bank statements (e.g., credit cardstatements), websites of the transaction handler (103), websites ofmerchants, checkout websites or web pages for online purchases, etc.

In one embodiment, the point of interaction (107) may be the same as thetransaction terminal (105), such as a point of sale (POS) terminal, anautomated teller machine (ATM), a mobile phone, a computer of the userfor an online transaction, etc. In one embodiment, the point ofinteraction (107) may be co-located with, or near, the transactionterminal (105) (e.g., a video monitor or display, a digital signage), orproduced by the transaction terminal (e.g., a receipt produced by thetransaction terminal (105)). In one embodiment, the point of interaction(107) may be separate from and not co-located with the transactionterminal (105), such as a mobile phone, a personal digital assistant, apersonal computer of the user, a voice mail box of the user, an emailinbox of the user, a digital signage, etc.

For example, the advertisements can be presented on a portion of mediafor a transaction with the customer, which portion might otherwise beunused and thus referred to as a “white space” herein. A white space canbe on a printed matter (e.g., a receipt printed for the transaction, ora printed credit card statement), on a video display (e.g., a displaymonitor of a POS terminal for a retail transaction, an ATM for cashwithdrawal or money transfer, a personal computer of the customer foronline purchases), or on an audio channel (e.g., an interactive voiceresponse (IVR) system for a transaction over a telephonic device).

In one embodiment, the white space is part of a media channel availableto present a message from the transaction handler (103) in connectionwith the processing of a transaction of the user (101). In oneembodiment, the white space is in a media channel that is used to reportinformation about a transaction of the user (101), such as anauthorization status, a confirmation message, a verification message, auser interface to verify a password for the online use of the accountinformation (142), a monthly statement, an alert or a report, or a webpage provided by the portal (143) to access a loyalty program associatedwith the consumer account (146) or a registration program.

In other embodiments, the advertisements can also be presented via othermedia channels which may not involve a transaction processed by thetransaction handler (103). For example, the advertisements can bepresented on publications or announcements (e.g., newspapers, magazines,books, directories, radio broadcasts, television, digital signage, etc.,which may be in an electronic form, or in a printed or painted form).The advertisements may be presented on paper, on websites, onbillboards, or on audio portals.

In one embodiment, the transaction handler (103) purchases the rights touse the media channels from the owner or operators of the media channelsand uses the media channels as advertisement spaces. For example, whitespaces at a point of interaction (e.g., 107) with customers fortransactions processed by the transaction handler (103) can be used todeliver advertisements relevant to the customers conducting thetransactions; and the advertisement can be selected based at least inpart on the intelligence information derived from the accumulatedtransaction data (109) and/or the context at the point of interaction(107) and/or the transaction terminal (105).

In general, a point of interaction (e.g., 107) may or may not be capableof receiving inputs from the customers, and may or may not co-locatedwith a transaction terminal (e.g., 105) that initiates the transactions.The white spaces for presenting the advertisement on the point ofinteraction (107) may be on a portion of a geographical display space(e.g., on a screen), or on a temporal space (e.g., in an audio stream).

In one embodiment, the point of interaction (107) may be used toprimarily to access services not provided by the transaction handler(103), such as services provided by a search engine, a social networkingwebsite, an online marketplace, a blog, a news site, a televisionprogram provider, a radio station, a satellite, a publisher, etc.

In one embodiment, a consumer device is used as the point of interaction(107), which may be a non-portable consumer device or a portablecomputing device. The consumer device is to provide media content to theuser (101) and may receive input from the user (101).

Examples of non-portable consumer devices include a computer terminal, atelevision set, a personal computer, a set-top box, or the like.Examples of portable consumer devices include a portable computer, acellular phone, a personal digital assistant (PDA), a pager, a securitycard, a wireless terminal, or the like. The consumer device may beimplemented as a data processing system as illustrated in FIG. 7, withmore or fewer components.

In one embodiment, the consumer device includes an accountidentification device (141). For example, a smart card used as anaccount identification device (141) is integrated with a mobile phone,or a personal digital assistant (PDA).

In one embodiment, the point of interaction (107) is integrated with atransaction terminal (105). For example, a self-service checkoutterminal includes a touch pad to interact with the user (101); and anATM machine includes a user interface subsystem to interact with theuser (101).

Hardware

In one embodiment, a computing apparatus is configured to include someof the modules or components illustrated in FIGS. 1 and 4, such as thetransaction handler (103), the profile generator (121), the mediacontroller (115), the portal (143), the profile selector (129), theadvertisement selector (133), the user tracker (113), the correlator,and their associated storage devices, such as the data warehouse (149).

In one embodiment, at least some of the modules or componentsillustrated in FIGS. 1 and 4, such as the transaction handler (103), thetransaction terminal (105), the point of interaction (107), the usertracker (113), the media controller (115), the correlator (117), theprofile generator (121), the profile selector (129), the advertisementselector (133), the portal (143), the issuer processor (145), theacquirer processor (147), and the account identification device (141),can be implemented as a computer system, such as a data processingsystem illustrated in FIG. 7, with more or fewer components. Some of themodules may share hardware or be combined on a computer system. In oneembodiment, a network of computers can be used to implement one or moreof the modules.

Further, the data illustrated in FIG. 1, such as transaction data (109),account data (111), transaction profiles (127), and advertisement data(135), can be stored in storage devices of one or more computersaccessible to the corresponding modules illustrated in FIG. 1. Forexample, the transaction data (109) can be stored in the data warehouse(149) that can be implemented as a data processing system illustrated inFIG. 7, with more or fewer components.

In one embodiment, the transaction handler (103) is a payment processingsystem, or a payment card processor, such as a card processor for creditcards, debit cards, etc.

FIG. 7 illustrates a data processing system according to one embodiment.While FIG. 7 illustrates various components of a computer system, it isnot intended to represent any particular architecture or manner ofinterconnecting the components. One embodiment may use other systemsthat have fewer or more components than those shown in FIG. 7.

In FIG. 7, the data processing system (170) includes an inter-connect(171) (e.g., bus and system core logic), which interconnects amicroprocessor(s) (173) and memory (167). The microprocessor (173) iscoupled to cache memory (179) in the example of FIG. 7.

In one embodiment, the inter-connect (171) interconnects themicroprocessor(s) (173) and the memory (167) together and alsointerconnects them to input/output (I/O) device(s) (175) via I/Ocontroller(s) (177). I/O devices (175) may include a display deviceand/or peripheral devices, such as mice, keyboards, modems, networkinterfaces, printers, scanners, video cameras and other devices known inthe art. In one embodiment, when the data processing system is a serversystem, some of the I/O devices (175), such as printers, scanners, mice,and/or keyboards, are optional.

In one embodiment, the inter-connect (171) includes one or more busesconnected to one another through various bridges, controllers and/oradapters. In one embodiment the I/O controllers (177) include a USB(Universal Serial Bus) adapter for controlling USB peripherals, and/oran IEEE-1394 bus adapter for controlling IEEE-1394 peripherals.

In one embodiment, the memory (167) includes one or more of: ROM (ReadOnly Memory), volatile RAM (Random Access Memory), and non-volatilememory, such as hard drive, flash memory, etc.

Volatile RAM is typically implemented as dynamic RAM (DRAM) whichrequires power continually in order to refresh or maintain the data inthe memory. Non-volatile memory is typically a magnetic hard drive, amagnetic optical drive, an optical drive (e.g., a DVD RAM), or othertype of memory system which maintains data even after power is removedfrom the system. The non-volatile memory may also be a random accessmemory.

The non-volatile memory can be a local device coupled directly to therest of the components in the data processing system. A non-volatilememory that is remote from the system, such as a network storage devicecoupled to the data processing system through a network interface suchas a modem or Ethernet interface, can also be used.

In this description, some functions and operations are described asbeing performed by or caused by software code to simplify description.However, such expressions are also used to specify that the functionsresult from execution of the code/instructions by a processor, such as amicroprocessor.

Alternatively, or in combination, the functions and operations asdescribed here can be implemented using special purpose circuitry, withor without software instructions, such as using Application-SpecificIntegrated Circuit (ASIC) or Field-Programmable Gate Array (FPGA).Embodiments can be implemented using hardwired circuitry withoutsoftware instructions, or in combination with software instructions.Thus, the techniques are limited neither to any specific combination ofhardware circuitry and software, nor to any particular source for theinstructions executed by the data processing system.

While one embodiment can be implemented in fully functioning computersand computer systems, various embodiments are capable of beingdistributed as a computing product in a variety of forms and are capableof being applied regardless of the particular type of machine orcomputer-readable media used to actually effect the distribution.

At least some aspects disclosed can be embodied, at least in part, insoftware. That is, the techniques may be carried out in a computersystem or other data processing system in response to its processor,such as a microprocessor, executing sequences of instructions containedin a memory, such as ROM, volatile RAM, non-volatile memory, cache or aremote storage device.

Routines executed to implement the embodiments may be implemented aspart of an operating system or a specific application, component,program, object, module or sequence of instructions referred to as“computer programs.” The computer programs typically include one or moreinstructions set at various times in various memory and storage devicesin a computer, and that, when read and executed by one or moreprocessors in a computer, cause the computer to perform operationsnecessary to execute elements involving the various aspects.

A machine readable medium can be used to store software and data whichwhen executed by a data processing system causes the system to performvarious methods. The executable software and data may be stored invarious places including for example ROM, volatile RAM, non-volatilememory and/or cache. Portions of this software and/or data may be storedin any one of these storage devices. Further, the data and instructionscan be obtained from centralized servers or peer to peer networks.Different portions of the data and instructions can be obtained fromdifferent centralized servers and/or peer to peer networks at differenttimes and in different communication sessions or in a same communicationsession. The data and instructions can be obtained in entirety prior tothe execution of the applications. Alternatively, portions of the dataand instructions can be obtained dynamically, just in time, when neededfor execution. Thus, it is not required that the data and instructionsbe on a machine readable medium in entirety at a particular instance oftime.

Examples of computer-readable media include but are not limited torecordable and non-recordable type media such as volatile andnon-volatile memory devices, read only memory (ROM), random accessmemory (RAM), flash memory devices, floppy and other removable disks,magnetic disk storage media, optical storage media (e.g., Compact DiskRead-Only Memory (CD ROMS), Digital Versatile Disks (DVDs), etc.), amongothers. The computer-readable media may store the instructions.

The instructions may also be embodied in digital and analogcommunication links for electrical, optical, acoustical or other formsof propagated signals, such as carrier waves, infrared signals, digitalsignals, etc. However, propagated signals, such as carrier waves,infrared signals, digital signals, etc. are not tangible machinereadable medium and are not configured to store instructions.

In general, a machine readable medium includes any mechanism thatprovides (i.e., stores and/or transmits) information in a formaccessible by a machine (e.g., a computer, network device, personaldigital assistant, manufacturing tool, any device with a set of one ormore processors, etc.).

In various embodiments, hardwired circuitry may be used in combinationwith software instructions to implement the techniques. Thus, thetechniques are neither limited to any specific combination of hardwarecircuitry and software nor to any particular source for the instructionsexecuted by the data processing system.

Other Aspects

The description and drawings are illustrative and are not to beconstrued as limiting. The present disclosure is illustrative ofinventive features to enable a person skilled in the art to make and usethe techniques. Various features, as described herein, should be used incompliance with all current and future rules, laws and regulationsrelated to privacy, security, permission, consent, authorization, andothers. Numerous specific details are described to provide a thoroughunderstanding. However, in certain instances, well known or conventionaldetails are not described in order to avoid obscuring the description.References to one or an embodiment in the present disclosure are notnecessarily references to the same embodiment; and, such references meanat least one.

The use of headings herein is merely provided for ease of reference, andshall not be interpreted in any way to limit this disclosure or thefollowing claims.

Reference to “one embodiment” or “an embodiment” means that a particularfeature, structure, or characteristic described in connection with theembodiment is included in at least one embodiment of the disclosure. Theappearances of the phrase “in one embodiment” in various places in thespecification are not necessarily all referring to the same embodiment,and are not necessarily all referring to separate or alternativeembodiments mutually exclusive of other embodiments. Moreover, variousfeatures are described which may be exhibited by one embodiment and notby others. Similarly, various requirements are described which may berequirements for one embodiment but not other embodiments. Unlessexcluded by explicit description and/or apparent incompatibility, anycombination of various features described in this description is alsoincluded here.

The disclosures of the above discussed patent documents are herebyincorporated herein by reference.

In the foregoing specification, the disclosure has been described withreference to specific exemplary embodiments thereof. It will be evidentthat various modifications may be made thereto without departing fromthe broader spirit and scope as set forth in the following claims. Thespecification and drawings are, accordingly, to be regarded in anillustrative sense rather than a restrictive sense.

1. A computer-implemented method, comprising: identifying, by acomputing apparatus, characteristics of a plurality of customers basedon first images of the customers, the first images captured using adigital camera attached to a point of interaction positioned in vicinityof a retail location; identifying, by the computing apparatus using thecharacteristics, a subset of customers who have made paymenttransactions at the retail location, the payment transactions processedvia a transaction handler; and determining, by the computing apparatus,an aggregated spending profile based on transactions of the subset ofcustomers recorded by the transaction handler.
 2. The method of claim 1,wherein the point of interaction comprises a digital sign.
 3. The methodof claim 2, further comprising: receiving from a user tracker the firstimages to identify the characteristics; and providing the aggregatedspending profile to a media controller to arrange content on the digitalsign.
 4. The method of claim 2, further comprising: capturing the firstimages of the plurality of customers who have watched the digital signusing the digital camera.
 5. The method of claim 4, wherein theidentifying of the characteristics comprises performing facerecognition.
 6. The method of claim 5, further comprising: measuring,from facial images of a customer captured by the digital camera, alength of a time period during which the customer is facing the digitalsign; and determining whether the customer is watching the digital signbased on the length of the time period, wherein the characteristics aredetermined from the plurality of customers who are determined to havewatched the digital sign.
 7. The method of claim 6, wherein when thelength of the time period is shorter than a predetermined threshold, thecustomer is determined to not be watching the digital sign; and when thelength of the time period is longer than a predetermined threshold, thecustomer is determined to be watching the digital sign.
 8. The method ofclaim 4, further comprising: arranging content on the digital sign usingthe aggregated spending profile.
 9. The method of claim 4, furthercomprising: capturing second images of customers who make paymenttransactions at the retail location, using a digital camera attached toa point of sale (POS) station at the retail location; wherein theidentifying of the subset comprises correlating the first images and thesecond images to identify the subset based on face recognition.
 10. Themethod of claim 2, wherein the characteristics comprise at least oneattribute selected from the group consisting of: gender and age.
 11. Themethod of claim 10, wherein the identifying of the subset comprisessampling accounts based on a distribution of the attribute in theplurality of customers in accordance with the attribute of users ofaccount identification devices associated with the accounts.
 12. Themethod of claim 10, wherein the arranging of the content comprisesselecting advertisements to target customers having the characteristics.13. The method of claim 2, wherein the identifying of thecharacteristics comprises receiving the characteristics.
 14. The methodof claim 13, further comprising: providing the aggregated spendingprofile as a response to the receiving of the characteristics.
 15. Themethod of claim 2, wherein the aggregated spending profile is generatedbased on aggregating spending recorded in accounts of the subset ofcustomers.
 16. The method of claim 2, wherein the identifying of thesubset of customers comprises excluding customers whose accounts havefewer than a predetermined threshold of transaction activities at theretail location with a predetermined period of time.
 17. A computerstorage medium storing instructions configured to instruct a computingapparatus to perform a method comprising: receiving, in the computingapparatus, first images of first customers captured using a digitalcamera attached to a digital sign positioned in vicinity of a retaillocation; determining, by the computing apparatus, characteristics ofthe first customers based on the first images; and generating, by thecomputing apparatus and in accordance with the characteristics, anaggregated spending profile using transaction data recorded by atransaction handler for payment transactions of second customers whohave made payment transactions at the retail location.
 18. The computerstorage medium of claim 17, wherein the characteristics include ademographic distribution of the first customers; and the secondcustomers are selected based on matching times of transactions of thesecond customers at the retail location with times of capturing of thefirst images, in accordance with a predetermined time period.
 19. Acomputing apparatus, comprising: a data warehouse configured to storetransaction data recording transactions processed by a transactionhandler; a portal configured to receive user data related to firstimages of first customers captured using a digital camera attached to adigital sign positioned in vicinity of a retail location; and a profilegenerator configured to generate, in accordance with the user data, anaggregated spending profile using the transaction data recorded by thetransaction handler for payment transactions of second customers whohave made payment transactions at the retail location.
 20. The computingapparatus of claim 19, further comprising: an advertisement selectorconfigured to use the aggregated spending profile to arrangeadvertisements presented on the digital sign.